Trying to enter an amount for box 20 of K-1 income. My K-1 box 20 references a sect. 179 disposition report. where on that report do I find the amount to enter? Clueless!

[MichaelDC · Accepted solution]

From the IRS website and its guide to the K-1, Box 20 with a Code L is:

"Code L. Dispositions of property with section 179 deductions.    The partnership will report your share of gain or loss on the sale, exchange, or other disposition of property for which a section 179 expense deduction was passed through to partners with code L. If the partnership passed through a section 179 expense deduction for the property, you must report the gain or loss and any recapture of the section 179 expense deduction for the property on your income tax return (see the Instructions for Form 4797 for details). The partnership will provide all the following information." 

http://www.irs.gov/instructions/i1065sk1/ch02.html#d0e1954 

The other place on your K-1 that references Section 179 deductions is Box 12.  Do you have an entry for Box 12?  If you have nothing entered in either Box 12 or Box 20, let's go into the Step-by-Step view of your return and try to clear any entries for Box 12 or Box 20 before trying again.

• Click on the View tab in the top left corner and select Step-by-Step View.
• Click on the Federal Taxes (the Personal tab if you're in TurboTax Home and Business) tab and then choose Wages & Income (Personal Income in TT H&B).
• Select I'll Choose What I Work On.
• Scroll down to Business Investment and Estate/Trust Income.
• Click on the Schedule K-1 item.  Select Yes, you want to work on your return and then choose to Update the K-1 area where you previously worked.
  
• You'll see your K-1 listed here.  Choose to Edit it.
• Continue all the way through the prompts until you see the Check Boxes That Have an Amount screen.
• Do you see Boxes 12 or 20 checked?  When you check Boxes 12 and 20 and enter amounts in the prompts screens, try going back and uncheck boxes. You may have to hit the Back button and then clear any amounts in screens related to Boxes 12 and 20.  Scroll through all the screens for the K-1 and cleared any amounts as well as any drop down items for the boxes.
•   Clearing all reference to Box 20 in the interview should remove any reference that is carried over to the Form.

[brerbear]

I am in a similar situation. My K-1 was generated by *Intuit's TurboTax for Business*. It populated Box 20 Code L but not Box 12. You seem to be suggesting that we change what was put into the K-1 by removing one or both of the values on the (now-filed) business forms. That doesn't seem like a solution.

Perhaps a better answer would look at the chart included in Intuit's Business TurboTax K-1 entitled "Partner's Disposition Report for all Assets with Section 179 Expense Taken"and tell us where / which columns from that chart should supply the answer to Code L.

For example, for each of the assets sold, do we total the (d) Gross Sales Price values and report it here?

[rhscpa]

I have the same question as the above.....I have Box 20 with Code L, but no dollar amount shows up associated with Code L.....only a schedule/table with the associated asset info.  What columns do we add up from the schedule to put in Turbo Tax?  And...when we enter that amount....where is it supposed to show up on the 1065?    (I entered a test amount....and it did not flow through to the 1065..?)

[DaveF1006]

Usually the information should show up in a supplementary statement that came with your K-1. Look at the statement and see if it references Box 20 code L.  If so, then you will record this information in the return. 

Note if you have a K-1 that was issued by the partnership, this will go on your individual 1040 and not a 1065. My question is was the K-1 issued to you or the partnership?

[Edited 03-10-2021|4:17 PM PST]

[rhscpa]

The K-1 I received was issued to another of my partnerships.  So, I have a K-1 Box 20 that did come with a "schedule" for Code L.  My question is....1) what number(s) to I use from that Schedule (column G, H or more likely Column F minus G and minus H...?)...and 2) then were does that number(s) go in the Form 1065 to which the K-1 was issued to?  Need help asap, as the 1065 is due TODAY.   Ugh.