i assume this was a private partnership - not one in which you acquired a share through your broker.
make sure final k-1 is checked in TT
enter the k-1
then answer yes to sale. you did sell your interest for whatever the distribution was.
you'll be taken to a section where you must enter the disposition (sales) info.
sales price = distribution
next, you need to enter your tax basis before the distribution
finally, if there is a schedule or additional statement reporting ordinary gain (section 751 or report on 4797 line 10) that must be entered.
you're done.
the sale will result in a capital gain or loss and maybe some ordinary gain if that's reported to you on a separate statement.
