How to Enter K-1 figures from S-Corp (loss greater than basis)

[silviam87]

Hello,

I received my K-1 this year which had a loss in box 1 (ex -$18,000). Additionally, I had a a loss in box 9 net section 1231 (ex -$10,000). 

I thought the loss I pass through, as an active member, cannot be more than my basis (ex $21,000). When I enter all my info into TT home and biz it is passing through $29K loss. Am I doing something wrong? 

[tagteam]

Somehow, I totally misread the original post here.

The procedure needs to be done manually and the basis statement needs to be included with the return.

Thanks to @AmeliesUncle 

[AmeliesUncle · Accepted solution]

I disagree.  The At-Risk limitation is different and separate from Basis limitations.  Form 6198 should not be filed with the tax return.

You need to MANUALLY calculate the amount you are allowed, and only enter those amounts on the K-1.  You will then MANUALLY carry it over to next year.  In the year the suspended Basis loss is allowed, you need to enter that as a SEPARATE K-1, called "PYA".

As a side note, if you are claiming losses, you are required to attach a Basis statement to your tax return.

[silviam87]

Thanks for the clarification. I was thinking I would have to manually calculate but I was hoping to find a work around. Thanks for the support.