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State tax filing
After entering the Maryland K-1s on your federal return, you will need to work through the nonresident Maryland return to make any adjustments necessary under the business section of that return. Adjustments are not common, but you may need to answer questions about the source of the K-1 income.
You will also need to work through your Pennsylvania return for the same reasons. K-1 entries should not cause your home state to convert that income into business or rental income for PA. Be sure you indicate that all income is sourced in Maryland.
If you're not able to resolve this yourself, consider upgrading to TurboTax Live. This online service provides step-by-step guidance from a tax expert whenever you need assistance, either over the phone or by screensharing.
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