@18686
As a partner in a partnership, you should be tracking your tax basis in this investment.
Indicating a complete disposition is fine.
When you update your tax basis for the applicable lines on the final K-1, do not adjust it for any final distribution.
TT will ask some questions since this is a final K-1. TT will need to know your selling price - this will be your liquidating distribution from the partnership. TT will need to know your tax basis - you should have this as well. TT will then handle the rest.
If you have not maintained your tax basis, section L on your K-1 is based on your tax capital. This may not be exactly your tax basis, but most likely close if you have not maintained your outside tax basis. If this has been reduced by the liquidating distribution, add this amount back to get your "tax basis".
At this point you should be good to go.
*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.
