I am treasurer for a stock investment club (partnership). I have a problem with business expenses being reported as business loss and earnings loss from self-employment. In the past we have used unique investment club accounting software to track transactions and file our 1065 partnership return and K-1s for members. This year we have a specific issue that cannot be handled by that software, so I am using Turbo Tax for Business. All of our income is from dividends, interest, and gain on stock sales. In 2023 we had $1209 of investment related expenses for tax software and membership in a national investment club. I input dividend and security transactions, and the expenses, in TTax, and the Schedule K includes $1209 as a business loss on line 1 and also as a net earnings loss from self-employment on line 14a. That has NEVER been reported that way in prior years. The Schedule K also reports that amount as an investment expense on line 20b, which is consistent with prior years. I reported all income as “investment income” and all expense deductions as “common business expenses.” How can I report those expenses so they don’t also appear as business loss or loss from self-employment?
