@nexchap Thanks, I will try to find a NJ one for help. Meanwhile, your question about Federal level handling is critical. I hope you can help me double check here:
- Due to the cost basis adjustment in K-1 sales schedule (-$48453), I end up with a $46622 cap gain in Schedule D via form 8949 after adjusting the 1099-B cost basis ($1831 loss before adjusting).
- There is a $-48439 loss in K-1 line 11 ("Other income/loss") code C ("Sec. 1256 contracts and straddles"). This loss is then rolled up in Schedule D in line 4C(-19376 for short-term loss) and 11D (-29063 for long-term loss) via Form 6781 which splits the loss in 40/60 ratio for short-term and long-term losses.
- In Schedule D, the 46622 cap-gain is offset by the 48439 loss, resulting in a1817 loss. The other $14 loss is from Schedule E, adding $20 income/dividend from K-1 line 5 and 6a, deducting $34 in 11W ("Other deduction", here for "Trader expenses" according to USO K-1).
- In net (between Schedule D and E), it generates a $1831 loss, which aligns well with 1099-B loss before adjusting the cost basis.
Pls let me know if you notice anything suspicious above. Thank you in advance!
