My husband was 1/3 owner of his deceased parents' property. While trying to sell, they created an LLC (in 2020) to hold the property for liability purposes. The property sold in 2023 and checks were disbursed. Then the LLC was dissolved because it was no longer needed. He received a Final K-1, which has amounts in boxes 1, 5, 10, 14, and 20. The amount in line 10 and 14 are negative numbers as we took a loss on the property. I should check "this partnership ended in 2023" because the LLC was dissolved. The next screen asks "Describe parnership disposal" and my choice are No entry; Complete disposition; Disposition was not via a sale; and sold an am receiving payments. Of these choices, complete disposition seems the most appropriate.
The next question is "What type of disposition is this?" My choices are Sold partnership interest; abandoned partnership; liquidated partnership; owner died and interest was transferred. None of these seems correct but it says if I don't know, choose "sold partnership interest".
Then it asks for information about the sale of the LLC but this does not seem pertinent as we sold the property, not the LLC. But if I don't enter anything it says I have zero loss and zero gain.
I'm completely lost. Is there anyone who can point me in the right direction?
