Irene2805
Expert Alumni

Business & farm

Items listed on each partner's K-1 flow from Schedule K on page 4 of Form 1065.  The totals that appear on Sch K are then transferred to each partner's K-1, according to their assigned percentage.  Items related to QBI should be entered on line 20 of Schedule K with codes Z, AA, AB, AC, or AD.

 

The amount contributed to a partner's IRA goes on Schedule K-1 (Form 1065) box 13 with code R.  Since this is reported as a self-employment retirement deduction on your personal tax return, it does not appear as a deduction (or anywhere other than box 13 of the K-1) on the partnership's tax return (Form 1065).

 

W-2 wages are an expense of the business -- they are not divided up on a partner level.