Hello,
I'm looking for some help to "Enter Sale Information" for a partnership that ended in 2022.
I've read all the posts on TurboTax, and I'm still unclear on how to handle these entries.
I've spent the last few hours trying to provide as much information as possible for someone to help.
The following entries I need help with:
| Regular Gain or Loss | AMT Gain or Loss |
| Sale Price ? | |
| Selling Expense ? | |
| Partnership Basis ? | Partnership Basis ? |
| Ordinary Gain ? | Ordinary Gain ? |
| 1250 Gain ? | 1250 Gain ? |
Here's the basic information I've entered into TurboTax:
| Select the Type of Partner | Limited Partner or Other LLC Member |
| Describe the Partnership | This partnership ended in 2022 |
| Describe Partnership Disposal | Complete disposition |
| Tell Us About Your Sale | Sold Partnership Interest |
| Enter Sales Dates | |
| Purchase Date | 09/01/2020 |
| Sales Date | 01/04/2022 |
I contributed $25,000 at the start.
I received $33,203.06 ($25,000 returned + $8,203.06 profit) at the time of disposal.
Below is the following information (with sensitive information removed):
Schedule K-1's for 2020, 2021, and 2022 (Final K-1)
Notes for Schedule K-1's for 2020, 2021, and 2022
Schedule of Activities for 2020 and 2021
Partner Basis Worksheet for 2020 and 2021
--------------------------------------------------------------------------------------------------------------------
Schedule K-1 (Form 1065)
-------------------------------------
| Year | 2020 | 2021 | 2022 |
| Beginning | 09/30/2020 | | |
| Ending | 12/31/2020 | | |
| Final K-1 | | | X |
| Amended K-1 | | | |
| Part 1 Information About the Partnership | | | |
| A Partnership’s employer identification number | | | |
| B Partnership’s name, address, city, state, and ZIP code | | | |
| C IRS Center where partnership filed return | | | |
| D Check if this is a publicly traded partnership (PTP) | | | |
| Part II Information About the Partner | | | |
| E Partner’s SSN or TIN (Do not use TIN of a disregarded entity. See instructions.) | | | |
| F Name, address, city, state, and ZIP code for partner entered in E. See instructions. | | | |
| G Limited partner or other LLC member | X | X | X |
| H1 Domestic partner | X | X | X |
| H2 If the partner is a disregarded entity (DE), enter the partner’s: | | | |
| I1 What type of entity is this partner? | Individual | Individual | Individual |
| I2 If this partner is a retirement plan (IRA/SEP/Keogh/etc.), check here | | | |
| J Partner’s share of profit, loss, and capital: | | | |
| Profit | | | |
| Beginning | 0.1091050% | 0.1091050% | 0.109105% |
| Ending | 0.1091050% | 0.1091050% | 0.109105% |
| Loss | | | |
| Beginning | 0.1091050% | 0.1091050% | 0.109105% |
| Ending | 0.1091050% | 0.1091050% | 0.109105% |
| Capital | | | |
| Beginning | 0.1141690% | 0.1141690% | 0.109105% |
| Ending | 0.1141690% | 0.1141690% | 0.109105% |
| Check if decrease is due to sale or exchange of partnership interest | | | |
| K Partner’s share of liabilities: | | | |
| Nonrecourse Beginning : Ending | | | |
| Qualified nonrecourse financing Beginning : Ending | 0:34379 | 34379:38449 | |
| Recourse Beginning : Ending | | | 40038: |
| Check this box if Item K includes liability amounts from lower tier partnerships. | | | |
| L Partner’s Capital Account Analysis | | | |
| Beginning capital account | | 22812 | 17774 |
| Capital contributed during the year | 25000 | | |
| Current year net income (loss) | -2188 | -5037 | 15429 |
| Other increase (decrease) (attach explanation) | | | |
| Withdrawals & distributions | | | (33203) |
| Ending capital account | 22812 | 17775 | 0 |
| M Did the partner contribute property with a built-in gain or loss? | No | | |
| N Partner’s Share of Net Unrecognized Section 704(c) Gain or (Loss) | | | |
| Beginning : Ending | | | |
| Part III Partner’s Share of Current Year Income, Deductions, Credits, and Other Items | | | |
| 1 Ordinary business income (loss) | 0 | 0 | |
| 2 Net rental real estate income (loss) | -1562 | -5037 | -3893 |
| 3 Other net rental income (loss) | | | |
| 4a Guaranteed payments for services | | | |
| 4b Guaranteed payments for capital | | | |
| 4c Total guaranteed payments | | | |
| 5 Interest income | 1 | | 2 |
| 6a Ordinary dividends | | | |
| 6b Qualified dividends | | | |
| 6c Dividend equivalents | | | |
| 7 Royalties | | | |
| 8 Net short-term capital gain (loss) | | | |
| 9a Net long-term capital gain (loss) | | | |
| 9b Collectibles (28%) gain (loss) | | | |
| 9c Unrecaptured section 1250 gain | | | 930 |
| 10 Net section 1231 gain (loss) | | | 19320 |
| 11 Other income (loss) | | | |
| 12 Section 179 deduction | | | |
| 13 Other deductions | | | |
| 14 Self-employment earnings (loss) | A 0 | A 0 | |
| 15 Credits | | | |
| 16 Foreign transactions | | | |
| 17 Alternative min tax (AMT) items | | | |
| 18 Tax-exempt income and nondeductible expenses | C 627 | | |
| 19 Distributions | | | A 33203 |
| 20 Other information | A1 N 967 Z STMT | N 4077 Z STMT | A 2 N STMT Z STMT AG STMT |
| 21 More than one activity for at-risk purposes* | | | |
| 22 More than one activity for passive activity purposes* | | | |
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2020 Notes
-----------------
Schedule K-1 Nondeductible Expenses, Box 18, Code C
Description Amount
Syndication Costs 627.
Total to Schedule K-1, Box 18, Code C 627.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Business Interest Expense, Box 20, Code N
Description Amount
Business interest expense -
(Included in rental real estate
income (loss)) 967.
Total to Schedule K-1, Box 20, Code N 967.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Section 199A Information, Box 20, Code Z
Description Amount
Rent
Rental income (loss) -1562.
Unadjusted basis of assets 17356.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Section 199A Additional Information
The Section 199A amounts to be used in the calculation of Qualified
Business Income Deduction on your 1040/1041 return are reported on Line 20,
under code Z. Please consult your tax advisor regarding the calculation of
the Qualified Business Income Deduction, including the possible
aggregations and limitations that may apply and the filing of the
1.199A-4(c)(2)(i) Annual Disclosure Statement.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Current Year Net Income (Loss) and Other Increases (Decreases)
Description Amount Totals
Rental real estate income (loss) -1562.
Interest income 1.
Schedule K-1 income subtotal -1561.
Nondeductible expenses -627.
Schedule K-1 deductions subtotal -627.
Net Income (Loss) per Schedule K-1 -2188.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Item L. Partner’s Capital Account Analysis
Beginning capital account method used - Tax Basis
2021 Notes
-----------------
Schedule K-1 Business Interest Expense, Box 20, Code N
Description Amount
Business interest expense -
(Included in rental real estate
income (loss)) 4077.
Total to Schedule K-1, Box 20, Code N 4077.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Section 199A Information, Box 20, Code Z
Description Amount
Rent
Rental income (loss) -5037.
Unadjusted basis of assets 17356.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Section 199A Additional Information
The Section 199A amounts to be used in the calculation of Qualified
Business Income Deduction on your 1040/1041 return are reported on Line 20,
under code Z. Please consult your tax advisor regarding the calculation of
the Qualified Business Income Deduction, including the possible
aggregations and limitations that may apply and the filing of the
1.199A-4(c)(2)(i) Annual Disclosure Statement.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Current Year Net Income (Loss) and Other Increases (Decreases)
Description Amount Totals
Rental real estate income (loss) -5037.
Schedule K-1 income subtotal -5037.
Net Income (Loss) per Schedule K-1 -5037.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1 Item L. Partner’s Capital Account Analysis
Beginning capital account method used - Tax Basis
2022 Notes
-----------------
Schedule K-1, Line 2 - Net Rental Real Estate Income (Loss)
Description Type Amount Disposed
COMMERCIAL -3,893 X
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1, Line 9c - Unrecaptured Section 1250 Gain
Description Amount
UNRECAP SEC 1250 GAIN 930
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1, Line 20 - Other Information
Code Description Amount
N SCHEDULE K-1, LINE 2 BUSINESS INTEREST EXPENSE 2,716
AG GROSS RECEIPTS FOR 2022 21,471
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Items Included in Current Year Income (Loss):
SCHEDULE K ADDITIONS:
NET RENTAL REAL ESTATE INCOME/LOSS -3,893
INTEREST INCOME 2
NET SECTION 1231 GAIN/LOSS 19,320
SUBTOTAL 15,429
TOTAL PER SCHEDULE K-1, CURRENT YEAR NET INCOME (LOSS) 15,429
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Schedule K-1, Box 20, Code Z - Section 199A Information
Activity Description Pass-through Entity EIN Aggr Number SSTB PTP
QBI or Qualified PTP items:
Ordinary business income (loss)
Net rental real estate income (loss) -3893
Other net rental income (loss)
Royalties
Section 1231 gain (loss) 19,320
Other income (loss)
Section 179 deduction
Other deductions
W-2 wages
Qualified property
Other Information:
QBI alloc to co-op pmts received
W-2 wages alloc to qualified pmts
Section 199A(g) deduction
Section 199A REIT dividends
--------------------------------------------------------------------------------------------------------------------
Schedule of Activities
-------------------------------
| Year | 2020 | 2021 |
| Beginning | 09/30/2020 | |
| Ending | 12/31/2020 | |
| Ordinary business income (loss) | | |
| Net rental real estate income (loss) | -1562 | -5037 |
| Other net rental income (loss) | | |
| Interest income | | |
| Dividends | | |
| - Ordinary dividends | | |
| - Qualified dividends | | |
| - Dividend equivalents (1065 only) | | |
| Royalties | | |
| Net short-term capital gain (loss) | | |
| Net long-term capital gain (loss) | | |
| - Collectibles (28%) gain (loss) | | |
| - Unrecaptured Section 1250 gain | | |
| Net section 1231 gain (loss) | | |
| Other portfolio income | | |
| Section 1256 contracts and straddles | | |
| Other income | | |
| Section 179 deduction | | |
| Charitable contributions | | |
| Portfolio deductions | | |
| Investment interest expense | | |
| Section 59(e)(2) expenditures | | |
| Excess business interest expense | | |
| Other deductions | | |
| Net earnings from self-employment | | |
| Gross farming or fishing income | | |
| Gross nonfarm income | | |
| LIH credit | | |
| - Section 42(j)(5) partnerships | | |
| - Other | | |
| Qualified rehabilitation expenditures related to rental real estate | | |
| Other rental credits | | |
| Credits related to other rental activities | | |
| Recapture of LIH credit | | |
| - Section 42(j)(5) partnerships | | |
| - Other | | |
| Other credits | | |
| Post-1986 depreciation adjustment | | |
| Adjusted gain or loss | | |
| Portion of adjusted gain/loss allocable to short-term gain/loss | | |
| Portion of adjusted gain/loss allocable to long-term gain/loss | | |
| Portion of adjusted gain/loss allocable to section 1231 gain/loss | | |
| Depletion (other than oil and gas) | | |
| Oil, gas and geothermal properties - gross income | | |
| Oil, gas and geothermal properties - deductions | | |
| Other AMT items | | |
| Investment income | | |
| Investment expenses | | |
| Section 199A | | |
| - W-2 wages | | |
| - Unadjusted basis of assets | 17356 | 17345 |
| - REIT dividends | | |
| - Cooperative qualified business income | | |
| - Cooperative W-2 wages | | |
--------------------------------------------------------------------------------------------------------------------
Partner Basis Worksheet
----------------------------------
| Year | 2020 | 2021 |
| Ownership Percentage: | .1142% | .1142% |
| Increases: | | |
| 1. Adjusted basis at the end of the prior year (not less than zero) | 0 | 22812 |
| 2. Money and your adjusted basis in property contributed to the partnership less the associated liabilities (not less than zero) | 25000 | |
| 3. Partner’s share of partnership liabilities (current year Item K, Schedule K-1 and increased share) | 34379 | 38449 |
| a. Less: Liabilities included in line 1 above (prior year Item K) | | |
| 4. Items of income or gain this year including tax-exempt income | | |
| a. Ordinary business income | | |
| b. Net rental real estate income | | |
| c. Other net rental income | | |
| d. Interest income | 1 | |
| e. Ordinary dividends | | |
| f. Royalties | | |
| g. Net short-term capital gain | | |
| h. Net long-term capital gain | | |
| i. Net gain under Section 1231 | | |
| j. Other income | | |
| k. Tax-exempt income | | |
| l. Other increases: | | |
| Total income and gain (Add 4(a) through 4(l) | 1 | |
| 5. Gain (if any) recognized this year on contribution of property to partnership (other than gain from transfer of liabilities) | | |
| 6. Depletion (other than oil and gas) in excess of basis | | |
| Total increases (Add lines 2 through 6) | 59380 | 38449 |
| Decreases: | | |
| 7. Withdrawals and distributions during the year | | |
| 8. Partner’s share of partnership liabilities (current year Item K, Sch K-1 and decreased share) | | |
| a. Less: Liabilities included in line 1 above (prior year Item K) | | |
| 9. Nondeductible expenses | 627 | |
| 10. Partnership losses and deductions: | | |
| a. Ordinary business (loss) | | |
| b. Net rental real estate income (loss) | 1562 | 5037 |
| c. Other net rental (loss) | | |
| d. Net short-term capital (loss) | | |
| e. Net long-term capital (loss) | | |
| f. Net loss under Section 1231 | | |
| g. Other deductions | | |
| h. Charitable contributions | | |
| i. Section 179 deduction | | |
| j. Foreign taxes paid or accrued | | |
| k. Other decreases: | | |
| l. Disallowed prior year's losses and deductions | | |
| 11. Oil and gas depletion (not to exceed your allocable share of the adjusted basis of the property) | | |
| Total decreases (Add 10(a) through 10(k) and line 11) | 1562 | 5037 |
| 12. Adjusted Basis of partnership interest (If less than zero, enter zero) | 57191 | 56224 |
| Gain on Distributions: | | |
| 13. a. Cash distributions | | |
| b. Less: basis before distributions and allocable loss | | |
| c. Gain on distribution | | |
| Carryover: | | |
| 14. a. Prior year loss | | |
| b. Add: Losses and deductions this year | 2189 | 5037 |
| c. Less: Applied this year | 59380 | 61261 |
| d. End of year (not less than 0) | 0 | 0 |
