The business will be completely liquidated by this year, to which I will receive a final K-1 next year for 2019 filing. However, the sale of the business was completed last year 2018, and as much as I know the distributed amount as shown on my K-1 reflects the amount I initially invested+small profit margin. Basically, the distribution amount box is almost the same as the business income box1 in my K-1. That's why I am not sure if the amount I received in return for the sale of the business, which essentially includes my initial capital, is all taxed. I am still confused by this.
