I received a Form 926 information sheet with my Form K-1. Do I have to file a Form 926 with my tax return?

I only own 100 shares of the Master Limited Partnership.

MinhT
Expert Alumni

Business & farm

Form 926 - Return by a U.S. Transferor of Property to a Foreign Corporation was filed by the partnership and sent to you for information.

You do not need to report this form 926 on your tax return. You only enter your form K-1.


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rowandh
New Member

Business & farm

While I would love this answer to be correct, instructions for Form 926 seem to say otherwise.  If a partnership makes this type of transfer, each  partner is treated as if the partner made the transfer and as such needs to file form 926 (page 1 of IRS instructions for this form).  The K-1 will provide the information needed.

Business & farm

The Form 926 Instructions clearly state:  Transfers by a partnership. If the transferor is a partnership (domestic or foreign), the domestic partners of the partnership, not the partnership itself, are required to comply with section 6038B and file Form 926. Each domestic partner is treated as a transferor of its proportionate share of the property
theodoreu
New Member

Business & farm

Turbotax doe not seem to support Form 926. Instructions say Form 926 must be filed with return. My tax return is lengthy and that is why I have the Turbotax version that supports efiling. Do I have to print out and entire return and attach manually prepared Form 926 and put in snail mail?
rowandh
New Member

Business & farm

I had this situation for 2017.  I e-filed my TTax return and mailed a copy of Form 926 to the IRS.  I was banking on the two getting linked via my tax id.  Heard back from the IRS that they received the form but nothing further.  I am sure that the IRS would not want a lengthy paper filing to handle due to this form alone.
drm92867
New Member

Business & farm

We are tax preparers were 3 clients in the same situation, with complicated returns that need to file form 926.  Our professional tax software does not support form 926, therefore we can't e-file that form.  What was the outcome on mailing in the form separately, as it says you can't attach tax forms as pdfs.  Please let me know.  Thanks

Business & farm

regarding filing of form 926 for foreign transfer reported on a K1, my read of the IRS instructions is this.  There is a 5%  ownership limitation of the entity involved and if your ownership is less, filing is  not required. In my case, total value of transfers reported on my K1 was less than  $500, and I own far less than 1% of the transferring entity, so I think that the

926 filing is not required.