@Rick19744 , this makes perfect sense. I appreciate your help.
One point of clarification. You said, "Essentially, if your tax basis goes negative, this negative amount is reported on form 8949 which will then flow to schedule D. Doing this means your tax basis is now zero." Does one file form 8949 the year the tax basis goes negative if this isn't a final K1? Or does one only file form 8949 the same year as one receives the final K1?
Thank you.
