My question is for NexChamp.
I owned a MLP which I sold in its entirety in 2020 and I am having some issues with Turbotax filling in part II Schedule E. I followed your suggestions (checked Partnership ended in 2020 (final K1), Complete disposition, Sold partnership interest, Purchase date 8/5/2011, sale date 8/5/2020). Entered the following: (Sale Price: 0
Ordinary Gain from my K-1: 3893, AMT ordinary Gain 3873.
Used Inverse of above numbers as Partnership Basis: -3893, -3873)
The next TT screen Review of Disposition/Sale: $0 short term and $0 long term gain/loss
Form 4797 appropriately shows my Ordinary gain as 3893 in part II box 10 line G.
I checked that I have passive carryover losses and all my investment is at risk and I have all the correct information entered on the PTP worksheets in regards to Ordinary income for Schedule E: In columns (a) I have the current year's Income $194 and column (b) I have my cumulative prior years unallowed losses (-1389) and column (c) shows a net loss of -1195
I believe this should should populate SchE as follows:
Line 28 column (g): 1389 and column (h) as 194 Both as Passive Income/Loss; however, TT entered the net losses from the worksheet on Schedule E line 28 column (i) NON-PASSIVE Loss.
I am uncertain if I need to create a separate PTP work sheet and designate this PYA to separately report prior years passive losses so that it populates Schedule E correctly. Or if Schedule E is correct. Can you help me please?
