Hello. I have a Schedule K-1 (1065) with a ~$30000 figure on box 11 with a code of ZZ. The partnership is a mortgage lending investment pool. The ZZ entries don't seem to go anywhere on the tax return.
Under "Supplemental Information" on the K-1, the ZZ is described as "Equity Financed Income". In addition, further down, there is a lengthy amount of other supplemental information. But none of it seems to be relevant to what to do with the above entry.
The only other item of interest is on line K1, partners share of liabilities, the "nonrecourse" beginning is ~$5000 and ending ~$85000.
I'm not sure if this ~$30000 is taxable and if so, how to report it. The issuing partnership says they don't give individual tax advice.
Any suggestions?
