I am working on a return for a client who owns a ST rental via an LLC. I did do two K-1s to separate the losses in box 1 and box 2. When doing the personal return, the amounts for box 1 and 2 are being combined on schedule 1, line 5 which flow to 1040, line 8. This does not make sense and seems like double counting to me.
Am I missing something or looking at this incorrectly?
Thanks.
