K1 amounts calculated by percentages assigned for loss are incorrect.

[2020qwerty]

K1 amounts calculated by percentages assigned for loss are incorrect.

FYI:

2 partners. 

Partner #1 profit 66.666670%   loss is 50.0%

Partner #2 profit 33.33333%     loss is 50.0%

Loss is being calculated as 2/3 for partner #1

and 1/3 for partner#2 instead of 50/50.

Capital is 50/50

Also, Partner's Capital Account Analysis not printing. Understand re: Schedule B question 6. Can Analysis be forced to print otherwise?

[2020qwerty]

Answering my own question re: Partner's Capital Account Analysis. 

Do the balance sheet portion, and the figure will print on the K-1.

Still looking to resolve the incorrect calculations for partner's loss amount

when loss percentage is different than profit percentage.

[tagteam]

You need to indicate in the program that the partnership makes special allocations (Business Info tab>>About Your Business).

Subsequently, you will have to check a box to indicate that the profit/loss percentage is different from the ownership percentage in the Partner/Member Information section. A dropdown will then appear with boxes for the profit, loss, and ownership percentages of each individual partner.

[2020qwerty]

Both of those recommendations were done previously.  The "Makes Special Allocations" was marked as "Yes."

<<Subsequently, you will have to check a box to indicate that the profit/loss percentage is different from the ownership percentage in the Partner/Member Information section. >>

I see no box to check; however, the percentage allocations are as in the original post on the Member Summary page.

The amounts calculated are wrong on the K-1.

[tagteam]

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@2020qwerty wrote:

I see no box to check....

You do not see the box in the screenshot below (that is obviously checked)?

[2020qwerty]

Found the box to check regarding profit / loss different than owner's percentage. That box was checked with the appropriate percentages equaling 100%.

The business suffered a loss. The amounts calculated on the K-1 are picking up the Profit percentage that differs from Loss percentage.

[tagteam · Accepted solution]

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@2020qwerty wrote:

The business suffered a loss. The amounts calculated on the K-1 are picking up the Profit percentage that differs from Loss percentage.

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That is because you did not also allocate each partner's year-end income or loss based on the profit percentage or loss percentage (i.e. you probably did not change the default "profit percentage").

You should see that option in the Assumptions About Your Partners screen (right after the Partner Summary screen).

[2020qwerty]

Changing the allocation from Profit percentage to Loss percentage worked!

THANK YOU!