I also got a final Grantor Trust instead of a final K-1. It info seems to follow a K-1 though. Should I report the info as a K-1? The EIN and name are different but the address is the same. Also, where would I report my loss as it was quite considerable? It has a Capital Account Analysis but I was told that doesn’t need to be reported.
Even though the Grantor's statement fits into a sch k-1, it doesn't address long-term losses. I think I need to manually enter the info on the Schedule D and form 8949 but I have to do some research for final loss amount. I filed for an extension since I knew I didn't owe taxes. The Turbo Tax answer just confuses me so I'll probably have to go to a CPA later to make sure it's filed correctly.
I treated it as if I had received a K-1. The categories fit perfectly.
In K-1 it doesn't ask me for Long Term Losses or section 1231 Loss or Cancellation of Debt.They also ask what method of accounting is used. Did you run into this?
" Even though the Grantor's statement fits into a sch k-1, it doesn't address long-term losses."
It actually does address that, provided you select that the K-1 is final which will allow you to input long-term losses on Line 11 with a C code (see screenshot).
What form or schedule are you referring to regarding Line 11, Code C?
In Sch D, Line 12, you can input long-term loss from Sch K-1s but it doesn’t ask if the K-1 is final.
My previous K-1s were reported on Schedule E. However, on the second line (under my name) is a caution. “The IRS compares amounts reported on your tax return with amounts shown on Schedule(s) K-1.” Can I use Schedule E for the final Grantor’s Statement, even though the trust didn’t issue a final K-1?
Schedule K-1 (1041). If you indicate the Schedule K-1 is the final K-1 that expect to receive from the estate or trust, you will be able to input figures on Line 11 in TurboTax.
You can, of course, enter the loss directly on Line 12 of Schedule D.
Thank you for the quick response but I'm still confused. I thought the fiduciary (Icon 11) is suppose to file a 1041, not the Beneficiaries (investors) and issue the K-1s to the investors. Instead of a K-1, I got a Final Grantor Trust Statement which seems to follow the K-1 form. Turbo Tax reported all my previous K-1s on Schedule E (Form 1040). My question is: can I use the Grantor statement as a K-1 in Turbo Tax Premier? And, will Turbo Tax ask if the Grantor statement is final in their step-by-step instructions? Or will that not work since Icon didn't issue a K-1?
Yes, you can pretend that the statement is a K-1 in Premier and the program will ask if the K-1 is final in the Step-by-Step sequencing.