A clarification as I have the same situation:
When you say report no sale action on first K-1 entry, do you mean to put $0 for basis and sale price as the original poster proposed above? Or leave them blank? As far as I can tell TT complains if you leave blank for sale information (which you are prompted to enter if you checked the "sold or disposed interest in my partnership" checkbox).
I assuming here that you have to check the "Final K-1" and "sold or disposed interest" checkboxes in schedule K-1 for both the box 1 and box 2 K-1 forms. Unless it's ok to put all info on one of the K-1 and just leave blank everything for other K-1, even the final/sold/discontinued checkboxes?
