@Mike9241
I got a K-1 for a Publicly Traded Partnership (ETF in this case) and I have a cumulative adjustment to basis of -3500 on the sales schedule. I realize I must make this adjustment to the related trades by lowering my cost basis so that I don't claim a 3500 dollar loss that does not exist. My question is, what is the most common way people go about doing this? In my case, the -3500 adjustment is spread out over 5 trades in the same ETF. Should I simply lower my cost basis by going into each trade on FORM 8949 and lowering the cost basis for each of these transactions by the amounts outlined in the Sales Schedule.....or should I just add a line to my FORM 8949 that says "K-1 Cost Basis adjustment" and put a transaction with proceeds of $3500 and a cost of 0. The net result is the same either way, I was just curious what is viewed as the standard way of doing things. These trades were all purchased and sold within calendar year 2020 and no position was left at the end of the year.
