JamesG1
Expert Alumni

Business & farm

I would add a couple thoughts.

 

1) The K-1 may contain entries in boxes 1 through 20 that are not included with the other documentation.  Make sure that you are not missing information to be reported.

 

2) A disposition reported through the 1099-B entries may not allow you to capture passive losses from previous years related to the activity.

 

In that case, you would want to use the K-1 entries and report Complete disposition at the screen Describe Partnership Disposal if you are carrying passive losses from previous years related to the activity. You want to ensure that you capture those losses upon complete disposal.  

 

Since you bought and sold within the same year, this likely would not apply in your case.

 

3) Only report the sale of the investment once.  The sale can be reported through the K-1 screens or through the 1099-B entries (excepting Complete disposition issues noted above).

 

@lucasmeyer19

 

 

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