We actually received 25,000 original investment plus 55,201 our portion of the selling price for a total of 80,201. This does not match the distribution amount on the K1 which show 91,513.
Our ending capital account amount of 39,400 which is our tax basis is correct.
I have not entered the selling and cost basis price because when I enter these amounts it makes my gain increase more with a gain of 41,101 and it also doubles my 1250 gain because it asks me to enter this again. I had entered the 1250 amount on a previous worksheets. This cannot be correct.
When I look at my Schedule D I now have a Capital Gain of 173,440! How can this be correct when we only received the amount I listed above of 55,201 plus our original investment of 25,000. Before the capital computation our regular income is only 37,476.
After entering it says my tax is 19,664.
What am I missing?
