I have been round and round with this issue. Spent 2 hours on the phone with a CPA from TT who said the correct way to enter the partnership sale is to enter the 1099B under stock and use the basis from my original sale (which results in a loss) and then enter again from K-1 using sale amount from partnership minus the k-1 cost basis. This results in two entries on the 8949 which he assured me was correct indicating one would offset the other. Then the gain subject to recapture as ordinary income (which is supposed to get entered as a negative amount in column g on form 8949) is listed as a positive number under Form 4797, Part II, line 10. I'm confused after reading some posts about only entering one place and not sure my calculation is correct. Anyone have any tips on understanding what is correct.
