PatriciaV,
Thank you very much for your reply. I am not clear on your answer. After reporting both the 2022 PTET and the 2023 estimated PTET paid in 2023 under Taxes and licenses in TurboTax Business, the amount was been included in 1065 line 14 Taxes and licenses which is a Deduction to the Ordinary business income. This ordinary business income reported in K-1 has already been reduced by both PTETs paid in 2023. When you say “the member will then report both… “, I assume that you mean reporting in their personal tax return Form1040. Now I don’t understand why that should be done as the K-1 Box 1 amount has already been reduced by the PTETs paid in 2023. Also it was done on the entity level. I don’t I feel that on the personal level we should do more than just using the K-1 numbers. If we enter the numbers in the personal tax as you suggested, we will be deducting the PTETs twice, once on the entity level, and again on the personal level. I don’t think we should do that.
