section 988 loss on K1

[dzinser]

how are section 988 losses on a k1 to be reported? must i report them on Schedule E or simply put the description in?

[DaveF1006]

if you have already reported this on a K-1, check Schedule 1 Line 8Z to see if it is already reported.  if not, here is how to report. 

• Federal
• Income and Expenses
• Scroll down to Less Common Income and click Show More
• Start next to Miscellaneous Income
• Start next to Other Reportable Income
• For description Section 988 Loss and then place a minus sign in front of the amount.
• This will now be reported in Schedule 1 line 8Z and will be labeled as 988 Loss with the negative amount recorded.