Per the IRS Instructions for Schedule K-1 List of Codes and References Used in Schedule K-1 (Form 1065), Box 20 Code AJ is used for Excess business loss limitation.
However, some partnerships choose to use this code to report Aggregate Business Activity Gross Income and Aggregate Business Activity Total Deductions, which together total Excess Business Losses for Form 461.
This information is relevant only if your tax year 2025 net losses from all businesses are more than $313,000 ($626,000 if filing a joint return). If this doesn't apply to you, you can leave Box 20 Code AJ blank (or do not include this code).
We don't anticipate future updates that would change how this code is handled in TurboTax.
See also: IRS Instructions for Form 461 - Limitations on Business Losses
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