The liabilities being reported in box 20 code AH for the “pass-through” partnership are relevant to the individual partners in the partnership preparing the Form 1065. So, each partner’s share of those box 20 code AH liabilities will be reported in box 20 code AH on that partner’s Schedule K-1. The individual partner will then take those liabilities into account when calculating the at-risk limits related to their partnership interest on their individual (Form 1040) tax return.
See the section of IRS Publication 541 at this link for more information on the effect of partnershi....
@ecomajor
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
