Hello DianeW, thank you for the reply.
My partnership agreement does not require me to pay expenses, so I can't use schedule E as you describe.
ReneeM explained how to record expenses for startup and other costs (which I have done), but also advised to me remove any liability entries. This would be correct if LP had simply paid its own expenses. But it doesn't fit my scenario. He/she did say this would be a nonrecourse loan which makes sense to me.
So I have the liability under "other short term liabilities" (entered in the balance sheet dialogue) which puts it on sched L. I then edited the 1065 and changed it from recourse to non-recourse loan (this done in the partners liabilities smart w/s).
Now the amount shows up as non-recourse loan portioned out in each partner's K1 section K. This seems logical to me.
I wonder if I should just skip the complexity and have the LP pay me the owed amount in cash? Just as If the LP had cut me a cheque in 2020 but I failed to cash it before 2021...
