A couple of comments:
- I can't speak for all states, but in most states, an LLP is a type of general partnership.
- I would assume that on your K-1 box G is checked as general partner or LLC member-manager
- I believe when you went through the question and answer for inputting your K-1 information you indicated this was a limited partnership and you were a limited partner. You should change that response to general partnership and general partner.
- There is also most likely a question asking if you are "at-risk" for the loss. I am assuming you are and you should respond "yes" to that question.
- I also assume that you are maintaining a tax basis schedule of your investment in the LLP. This is key in determining if losses are allowable, impact of distributions and the overall gain or loss upon disposition.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
