@nexchap Thank you for helping to understand the concepts of loss/gain in this context. Appreciate it! I am also not quite sure I understand the "Gain to be recaptured as ordinary income" part of the sales schedule. Do it imply the "ordinary gain" I earned (not necessarily distributed to me) for the part/units sold in 2020? For the income earned for the unsold units, they are reported in the other parts of K-1 eg Box 1?
I also saw the following two requirements from K-1:
1. you must include the IRC Section 754 Statement below in your income tax return for the first year you
become a partner.
2. If you are reporting ordinary income attributable to sales of Partnership units, you must include the IRC Section 751 Statement below in your income tax return for the year you made the disposition.
I did not find a place I can insert the two statements during TT interview. Do you have any suggestion?
Thank you, once again!
