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carpediemlnr
New Member

I was told to fill out two K-1s as mine shows both business and rental income. Do I fill out the Capital Account data twice? The IRS might think I have 2x the cost basis.

 
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ToddL
New Member

I was told to fill out two K-1s as mine shows both business and rental income. Do I fill out the Capital Account data twice? The IRS might think I have 2x the cost basis.

No, you don't fill out the capital account information twice.

The information in Part I,  sections A thru D, and Part II, sections E thru I, must  be entered on each duplicate K-1.

Part III, Sections J thru L (Partner's Share of Profit, Loss, Liabilities and Capital) should not.

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ToddL
New Member

I was told to fill out two K-1s as mine shows both business and rental income. Do I fill out the Capital Account data twice? The IRS might think I have 2x the cost basis.

No, you don't fill out the capital account information twice.

The information in Part I,  sections A thru D, and Part II, sections E thru I, must  be entered on each duplicate K-1.

Part III, Sections J thru L (Partner's Share of Profit, Loss, Liabilities and Capital) should not.

carpediemlnr
New Member

I was told to fill out two K-1s as mine shows both business and rental income. Do I fill out the Capital Account data twice? The IRS might think I have 2x the cost basis.

Thanks so much for responding to my question. However, I'm confused as you said to NOT fill out the capital account info twice though section L is the capital account info and you DID say to fill that out for each K-1. Would you please clarify? Thanks again!
ToddL
New Member

I was told to fill out two K-1s as mine shows both business and rental income. Do I fill out the Capital Account data twice? The IRS might think I have 2x the cost basis.

Can't explain how that got entered. Fixed above. Basically you complete all required entries except Partner's Share of Profit, Loss, Liabilities and Capital)
carpediemlnr
New Member

I was told to fill out two K-1s as mine shows both business and rental income. Do I fill out the Capital Account data twice? The IRS might think I have 2x the cost basis.

Thank you very much for your quick answer and follow up. Much appreciated!
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