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Level 4
posted Mar 25, 2025 2:49:31 PM

LLC Taxed as C-corp form 1120 : form 7217 Partner's report of property dsitributed by partnership

I was doing 2024 tax return. During error check, it asks me to enter "property dist date" in form 7217.

There was no property distributed in 2024. 

In 2/26/24, the C-corp ownership in a partnership was reduced from 35% to 10%. Is this that triggered this form 7217?

0 4 1538
1 Best answer
Expert Alumni
Mar 27, 2025 12:09:41 PM

Since the amounts reported for Schedule K-1 Box 19 are zero for both cash and property distributions, you can remove those entries (leave them blank). Form 7217 is only required if you have property distributions of value to report.

4 Replies
Level 4
Mar 25, 2025 5:47:54 PM

I checked forms and could not find this form 7217... There is no distribution of properties by partnership.. just change in ownership of this C-corp from 35% to 10%..How do I remove this form 7217 ???

Level 4
Mar 26, 2025 2:22:55 PM

Checking TT community, I see 2 relevant posts on why I am seeing form 7217 filing.

 

[1] https://ttlc.intuit.com/community/taxes/discussion/do-i-need-to-file-form-7217/00/3539846

[2] https://ttlc.intuit.com/community/business-taxes/discussion/the-new-section-7217-reporting-requirements-for-partners-of-a-dissolved-partnership-how-to-fill-out/00/3516704

 

On my schedule K1 (form 1065), under 19 I have 2 items

A 0

C 0

 

I guess that is why form 7217 appears in my turbotax tax prep. I did try to delete form 7217. But it will reappear when I ran "error check" again.

 

@DawnC @PatriciaV  Can you pls help ?

 

Expert Alumni
Mar 27, 2025 12:09:41 PM

Since the amounts reported for Schedule K-1 Box 19 are zero for both cash and property distributions, you can remove those entries (leave them blank). Form 7217 is only required if you have property distributions of value to report.

Level 4
Mar 27, 2025 4:49:52 PM

 

@PatriciaV Thanks!