Regardless of the code provided on Schedule K-1 Box 11, if the additional information indicates the amount relates to Section 988, the income or loss is reported as "other reportable income." The instructions previously posted are correct for reporting this activity.
According to Section 988: "Except as otherwise provided in this section, any foreign currency gain or loss attributable to a section 988 transaction shall be computed separately and treated as ordinary income or loss (as the case may be)."
The additional portfolio income reported for Box 11 would be entered the same way (other reportable income). The difference is how the amounts affect your return. Section 988 refers to foreign currency transactions, which may or may not need to be reported elsewhere on your return.
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