In TT Business I cannot figure out how to complete a 1065 partnership K-1 and get the QBI without increasing the capital accounts and balancing schedules L and M-1 M-2 etc. (husband and wife LLC)
First: If I report bus income to Line 1 - Ordinary Business, then it accumulates automatically in the capital accounts. However, because it was paid out to the partners (husband and wife - two partners) the capital accounts should not accumulate income.
Second: I also want to distribute the income unevenly, even though the profit percentages are 50% for the two of us. In the past CPAs have done this with a statement explaining the distribution as "proportional share of aggregate". Is it O.K. to override the defaults and do that?
