@Mike9241 Thanks again for responding!
To clarify, my partnership uses a brokerage house and typically gets forms like Consolidated Forms 1099, within Form 1099-INT, Form 1099-DIV, Form 1099-B, Form 8949.
So the Dividend from that Swiss company is on the form and taxed paid and to what foreign country are clearly indicated.
Before we get to that K-1 and K-3 schedules received. The TurboTax Business does not generate any K-3s to Partners, only K-1. The amount of $48 in foreign taxes paid is clearly visible in the box #21, on the K-1. Given what you wrote, that "Turbotax has not created the ability to enter the k-3's received from sub-partnerships and then accumulate the data for preparation of your partnership's k-3" -- I think I'm going to stop and work with a professional with access to more sophisticated up-to-date software.
I don't believe I will be able to correctly generate these K-3s by hand (and later add another K-3 from that "AB" holding, again through the same brokerage house, (the K1 for AB was added fine)).
The penalties are just too steep for the LP itself and that one 98% interest partner, it could up north $20k -- it is a significant chunk of money, we'll probably get it back, with interest, but after 20-30hours & multiple letters send and received and interactions with the IRS over mail and phone. And I'm not going to hold my breath for another 6 months in hopes that Intuit does things properly and implement the ability to enter K-3 received from publicly traded partnership investments, flow down relevant information from foreign dividends and such, and generate K-3 for partners. It is a shame and very painful because we kept paying & have been using the software for two decades.
I tried to reach out to IRS biz/partnership dept this early morning at 7AM, yet again to speak with a rep, but their automated system drops me as the queue is full/busy/whatever.
Sigh. Nonetheless, thank you for trying.
-B
