I have a K1 with box 1 and 2 losses.

[danbpc]

I am not really following what turbo tax wants when it says to create two  form 1065's  k1 for box 1 and a second K1 form for box 2 of part three, partner's share of income deductions credits and other items. I have an Oil and Gas partnership, Sunoco.  For the second K-1 in Turbo Tax,  do you fill out the Parts 1, info about the partnership again, and all the details from part 2, Info about the partner?  What about box entries in box 5, 13, 18, 19, and 20? It seems Final question about box 20 on the K1 I received,  there is an entry labeled STMT which I assume refers to the statement "Suppliemental Schedule K-1Informatin Statement for tax year 2023".  On it it has

•   section 199a
• Gross Receipts for 448(c)
• Gross income from Operations
• Federal Bonus Depreciation adjustment for Non-Conforming States
• AMT Depreciation Adjustment for Non-Conforming States
• UBTI included on Schedule K-1 Lines 1 and 2
• Partner Basis items and remedial items for section 163(j)

I am unclear from the General instructions what should be done if anything with theses different items on the statement.  My guess is that they are not really material for doing this return, the numbers are fairly small.  It would be useful if the program actually had a list of these items, what they are, and if and how they should be dealt with in turbo tax.

And finally if you create two k-1 forms for the same partnership,  do you also duplicate all of the entries in part III,  after box 1 and box 2?

[PatriciaV]

Yes, when you receive Schedule K-1 with entries in Box 1 and Box 2, you need to create another K-1 for Box 2. 

To do this, look for the button at the bottom of the Schedule K-1 summary page that says, "Add Another K-1."

Enter all the information from Part I and Part II of the K-1 on both copies. Include all information from Part III on the first copy - except for the amount in Box 2. The second copy should have only Box 2 from Part III.