Just for others that may read this thread, while Section L on the 1065 K-1 may be reported on the "tax basis" (and is mandatory for 2020 tax return years and forward), this is just a tax capital account. Once again, this is NOT your tax basis.
Your tax basis needs to take into account your share of liabilities and these are not reflected in Section L.
Liabilities that become part of your tax basis will vary depending on whether you are a limited partner / member, general partner, and if the K-1 is completed correctly, should be reflected in Section K of the K-1.
This is a complicated area that is misunderstood by many. The area of liabilities and tax basis is critical in determining the allocation of the partnership items for the K-1.
So for others that read this, there are still not sufficient facts to determine whether your facts and circumstances will result in the same outcome.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
