The problem you have here, is that you aren't adjusting your tax basis (cost in column e) for the current year K-1 impact.
If you use the beginning of the year figure, which we don't know is accurate, but assume it is, then:
- you need to subtract the 5,137 loss (box 1)
- add the section 1231 gain of $41,576 (box 10)
- this gives you a tax basis (cost basis column e) of $37,511
- Using this figure gives you a small loss of $4
You essentially were getting double taxed as you were not adjusting your tax basis for the current year K-1 line items.
*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.
