I'm hoping to piggy back on this question. I am an employee of a company that is an LP but I am also a limited partner (VERY limited! 🙂 )... They basically do this instead of stock options.
I got my first Schedule K-1 that has a distribution and Turbo Tax asks "Did you materially participate in this partnership's business activities during 2021?".
I feel like "of course I did, I worked there full time". I am not an "investor" so... is this as simple as it sounds and yes, I did "participate"?
It feels like a silly question yet I can't find an answer anywhere that says "answer yes if you are a full time employee of the LP". That seems like a simple statement that could be in the help page or easy to find it I googled it!
