Correct, that is where I am doing it (under Rental Real Estate), I was trying to understand what Stuart.bunstock suggested and was getting lost. The issues is I can see the form 8824 has the Deferred Gain on line 24 (which is correct), but on the K-1 I am getting a gain from Form 4794 (sale or exchange of Property) Line 7 that is getting transferred to the Form 1065 Lines 9c and 10
