I own shares in an MLP and receive K1s. In section L it lists the Partners' Capitol Account which I believe is my updated basis. The instructions for the K1 also refer to the IRS "Partner's Instructions" and includes a worksheet for calculating basis. When I go through the worksheet it doesn't match the section L "Ending capitol account" amount on the K1. Almost all of the difference is the Partner's share of liabilities, listed in section K, line1 as Nonrecourse. Should my share of the nonrecourse liabilities be included when calculating my adjusted basis? The liabilities have increased so my basis would go up if so. Thanks for the help.
