Solved: How do I calculate basis of partnership interest from a stock trade?
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New Member

How do I calculate basis of partnership interest from a stock trade?

I bought and sold 100 shares of EPD. I have the schedule K-1.
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Accepted Solutions
Level 15

How do I calculate basis of partnership interest from a stock trade?

Many times the K-1 will show the basis.

It is in very general terms, the cost you paid for the partnership interest, plus the income reported, less the losses taken, when the K-1 was reported. .  

The following IRS publication 541 has much more detail on this. 

https://www.irs.gov/pub/irs-pdf/p541.pdf

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6 Replies
Level 15

How do I calculate basis of partnership interest from a stock trade?

Many times the K-1 will show the basis.

It is in very general terms, the cost you paid for the partnership interest, plus the income reported, less the losses taken, when the K-1 was reported. .  

The following IRS publication 541 has much more detail on this. 

https://www.irs.gov/pub/irs-pdf/p541.pdf

View solution in original post

New Member

How do I calculate basis of partnership interest from a stock trade?

If I paid $2219 for the shares of EPD. I received $39 in distributions/dividends. My current year increase (decrease) on K-1 section L = -$74. Is my basis of partnership interest = 2106?
Level 15

How do I calculate basis of partnership interest from a stock trade?

Yes, that is also what I came up with
New Member

How do I calculate basis of partnership interest from a stock trade?

I have similar question about calculating the cost basis when the stock was bought and sold in the same year. I see how the cost basis is calculate. But what happens to the cost basis of 2106 the following year? Does anything happen?
Level 15

How do I calculate basis of partnership interest from a stock trade?

If bought and sold in the same year there is no basis in it, as it was sold and nothing exists for the following year.
New Member

How do I calculate basis of partnership interest from a stock trade?

I am confused.  From the question, it seems like this person bought and sold shares of a publicly traded company, which I assume the person would also have a 1099-B.  
Is the answer to this question assuming the person doesn't have a 1099-B?

From another related question at <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/3242541-i-have-both-a-1099-b-and-a-schedule-k-for-the-same-sale-wh...>

A turbo tax agent answered that we don't have to calculate basis for schedule K, and only input sales and purchase info into the stock section.  Who is right?
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