K-1 Line 13K requires Form 8990 unless exempted

[Michmom23]

Did anyone contact Energy Transfer to get an answer to the original question that was posted (exempt from filing Form 8990)?

[Ciao4]

I did not because usually they will tell you to contact a tax advisor.

Good luck.

Please post if you find the answer.

I will post if I find the answer.

[StanOrel]

This video is awesome!

The guy is really informative and explains in the video and in the comments on certain things/ questions! Thanks Ciao4!!

I don’t really want to but im curious about finding a tax accountant who could help me out with this. If I do, hopefully they can explain to me what these forms are for and how they can affect me and my taxes. Oh and the numerous terms that have me confused! Lol

[Ciao4]

StanOrel,

Please with me what you learned.

Thanks

[Michmom23]

So, here's what I learned.  Energy Transfer does have some regulated utility businesses that are exempted from 163(j) and some that are not.  Clear as mud.

[Vaughn20082012]

I have a zero amount in Box 13 code K on form 1065 from energy transfer. Am I right in thinking that I don't need to fill out form 8990 for a zero amount? 

[Mike9241]

Correct. The purpose of the 8990 is to see if the amount on 13k can be currently deducted. 

[Ciao4]

Hi SamLin,

Earlier you mentioned you sold your Publicly Traded Partnership, Energy Transfer, and you wrote:

Anyway, there are more complication when you close it. Now TT is asking about total sell price / partnetship basis etc. If I have a chance to do this all over, I will just buy ETF version of this.

For you, you should try to keep all the transaction documents for ET, you will need it to prove all your unit are sold etc

Can you tell me what Tax documents you received from Energy Transfer when you sold it?

Did you receive any tax documents by January 31st?

Did you receive any documents that were not available until Mid March like the K-1 or not available until June 30th like the K-3?

Do you need TT Premier to do the sale of Energy Transfer?

I want to know from now what I need to do next year when I prepare taxes.

Do you only need the transaction documents to do the return?

Maybe I can take a swing at it using this years TT Premiere 2024.

[SamLin]

Can you tell me what Tax documents you received from Energy Transfer when you sold it?

Unfortunately, they screwed up my k1, so on my doc it shows I still have units. 

So the lesson here is making sure your units total match with K1. I never thought about it could be wrong. 

Now I have the go through all 4 years of transcations and do all the calculations and ask them to correct it.

Lucky brokers provide all the transactions I did online. I just downloaded it and used python to calculate all balance for me.  

> Did you receive any tax documents by January 31st? 

no, they generally release it on 3/20

> Did you receive any documents that were not available until Mid March like the K-1 or not available until June 30th like the K-3?

yeah, i got k1 online around mid march. 

> Do you only need the transaction documents to do the return?

I think you only need k1 if they don't mess up your transactions. But if they do, you will have to get your transactions. Generally you can get it from brokers online.

I used TT home and business

[Mike9241]

for each year you sold ET shares, did you get the sales schedules that provide the means to correctly report the capital gain/loss and any ordinary gain on disposal?  You can only amend 2021 through 2023. Turbotax does not do form 8990.  So an entry in 13K will do nothing. Partners in a partnership are not exempt from filing Form 8990. 

here's from the 2023 tax package

Any corrections to the information in this package must be submitted to the Partnership by May 10th, 2024 in one of the following ways:
1.Submit corrections online through the Partnership's website at www.taxpackagesupport.com/et.
2. Call Tax Package Support at 1-800-617-7736.
Failure to submit corrections by May 10th, 2024 may require you to file Form 8082- "Notice of Inconsistent Treatment or Administrative Adjustment
Request" with your federal income tax return.

there are similar deadline and filing requirements for the other years. 

[Ciao4]

SamLin,

So, since I sold Energy Transfer in March 2025, next year I will still receive a K-1 and K-3. I should also save transaction details from the broker.  AND check your units total are match K-1 in 2025.

[Ciao4]

SamLin

is it worth it to buy TT Home and Business next year since I sold my shares in 2025?

[Ciao4]

Mike 9241,

Energy Transfer LP PTP was purchased in 2024 and sold in 2025.

So, I want to know what tax documents I will receive in 2025.

Seems like I will still receive K-1 and K-3 and go through this nonsense in 2025.

You mentioned, Partners in a partnership are not exempt from filing Form 8990. 

I had an accountant prepare my taxes and he did not complete Form 8990.

He Completed D, E and form 8582.

I have a loss of $5 in Box 1,

6a Ordinary Dividends $2

13 K EBIT $2

I read there are some exemptions to filing form 8990.

I am at the point where if it is wrong the accountant can handle it. That's not my style, but it is what it is.

This is so little money it is not going to make a difference on the bottom line.

Now that it crunch time, I doubt I will  find another tax preparer to check his work, and the expense is not worth it. 

Is it worth buying TT Home and Business next year?

There will probably be questions in the interview I don't the answer to.

Any thoughts?

Thanks

[DaveF1006]

It looks like you’ll still receive K-1 and K-3 tax documents for Energy Transfer LP in 2025, even though you sold your units. These documents are expected to be available online and mailed out between March 18, 2025, and March 25, 2025.

Regarding Form 8990, while partners in a partnership are generally required to file it, there are exemptions based on factors like gross receipts and business interest expense limitations. If your accountant didn’t complete Form 8990 but did file Schedule D, E, and Form 8582, it’s possible that your situation met one of the exemptions. Given the small amounts involved, it may not significantly impact your tax return.

As for TurboTax Home & Business, it’s designed for self-employed individuals and those with business income, including Schedule C filers. If you’re mainly dealing with investment-related tax documents like K-1s, TurboTax Premier might be a better fit. 

If you’re worried about not knowing the answers to some interview questions, TurboTax does provide step-by-step guidance and will lead you through your return from start to finish.