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bpq643
New Member

My partnership K-1 shows gas royalties, depletion, and other expenses with net profit. Form 8582 shows depletion as a passive loss with no income. Can I get rid of 8582?

I tried deleting the Form 8582 and I tried overriding income so it didn't show a loss, but couldn't find a way to tell it the depletion is a deduction from the royalties.

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bpq643
New Member

My partnership K-1 shows gas royalties, depletion, and other expenses with net profit. Form 8582 shows depletion as a passive loss with no income. Can I get rid of 8582?

I was able to eliminate the 8582 and disallowed passive loss by changing what I entered from the partnership K-1. It had a Code T for depletion information under line 20. I removed the Code T data and the 8582 went away. Only the Schedule E line 18b depletion entry was used and that was correctly subtracted from the royalty income.

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