I suspected 'glitch' in TT software, because all these particular K-1's are non-PTP and NONE are active participation. AND they are all being treated the same way with the SPLIT.
I thought MAYBE there is an accounting rule (for tax purposes, not GAAP) that allows certain rental real estate losses to be 're-characterized' from rental income (Box 2) to ordinary business income (Box 1), as paradoxical as that sound to me!, as they roll over from year to year.
Tax savvy enough to understand it doesn't make sense logically.
Going back through the worksheets, AGAIN, but they don't break down when/where the Box 1/2 SPLIT is occurring.
