Your K-1 is part of the entity tax return that is submitted to the IRS. However, pass-through entities typically do not pay tax at the entity level.
Everyone that receives a K-1 then uses that information to input into their personal 1040 on Schedule E.
So what has been filed, is the government copy of your K-1. They use this information to match it to individual tax returns to make sure individuals are properly reporting their income or losses.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
