MLP Data Entry

I sold all of my shares of ET in 2024. When I received the K-1 it shows Boxes 1 (Ordinary Business Income) and 2 (Net Rental Real Estate Income) with values. TT says that I should create a K-1 for each of them. Do I enter ALL K-1 data for each of those? What do I need to know to correctly follow TT's directions for this? Thank you in advance for your help.

631

Expert Alumni

Mar 29, 2025 7:44:50 AM

It depends. There are two different types of income which is the reason for creating two K1s for the same entity. The rest of the boxes can be reported on one of the K1s however, if one of the income figures is a loss, then I would report the rest of the boxes on the one with positive income.

Example: If you are using a 1065-K1 and you have entries in Box 20, it will be for qualified business income deduction (QBID), also known as Section 199A. You would see a Code Z and possibly more entries. It may be on a statement and not specifically noted on the K1.

If you run into additional questions, you can add them here and we will help.

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MLP Data Entry