Hi, thank you for your detailed reply!!
You are correct: line 11c income is from section 1256 contracts. The description for box 13W says "other deductions from pass through entities" and "other expenses". When I entered this amount as other itemized deductions or other, it didn't flow through at all. Schedule E page 2 had zeroes and the deduction didn't go anywhere. The entire income was being used to calculate taxes (which is not right). Then I used the "Other non passive deductions" and that flowed to schedule E page 2, which then offset the income on 1040.
After I did that, I found this at the bottom of my K-1: "LINE 13W REPRESENTS PROFESSIONAL FEES, MANAGEMENT FEES, AND OTHER DEDUCTIONS WHICH ARE RELATED TO THE PARTNERSHIP'S ACTIVITY AS A TRADER IN SECURITIES, THEY SHOULD BE ENTERED BY AN "INDIVIDUAL" TAXPAYER ON SCHEDULE E, PART II AS NONPASSIVE."
Based on that, I am thinking that my selection of "Non passive deductions to be reported on Schedule E, page 2" in Turbotax step-by-step is correct. Would you agree?
