On schedule K-1, Box 20 Code Z I have a Statement A. There are 3 different numbers on statement A. Which one do i put in code Z? The Rental Income (loss), w2, UBIA?

[DaveF1006]

Yes, there is a method of reporting the information that is necessary to complete Box 20 code Z.

1. Go to federal>wages and income>Business Investment and Estate/Trust income>Schedule K1
2. Enter information on your form in accordance with the questions asked.  
3. After entering the information regarding your K-1.  Enter information if any in Boxes 1,2, and 3. Check the box that indicates there are amounts in more than Boxes 1,2, &3.
4. Check Box 20 and press continue.
5. Pick code Z from the drop down, If there is no amount to enter next to it, leave blank and press continue. There will be follow-up questions regarding UBIA and rental income plus other information that is listed in your supplemental statement.
6. Continue through the questions. Be sure to mention that your investment is at risk.
7. Complete the section.

[oakat418aty]

My line 20 note shows:

bus taxable inc is as follows:

gross rental inc=1697

gross rental exp=16876

what do i show on 199a as income? net = loss of 15181

rental inc =1697 which will flow into qbi as a deduction

[PatriciaV]

Yes, enter net rental income/loss, which is the total of the gross rental income and the gross rental expenses. Statement A allows only one line for rental activity and is labeled "income (loss)" so you should enter the net.

[oakat418aty]

Great, that's what I thought wasn't sure why they gave me the 2 numbers. 

Additionally i received a K-3 but it's a us company, I thought those were used mainly for foreign companies.

Do I need to do anything with that in Turbotax? 

[DaveF1006]

No. Mostly the K-3 is issued because your entity has foreign partners that need to report this information on their tax returns in their respective countries.  Because of the international tax relevance nature of the K-1, all partners/shareholder (if S-Corp) must receive a K-3 regardless if they are a foreign partner or not. In fact the numbers that are reported on your k-3 should be reflected elsewhere on your k-1.

You may ignore these because these have no impact on your tax return.

@oakat418aty 

[oakat418aty]

Thanks, just like all the state related information that is sent to all. 

[RetiredBill]

Thank you for the question! It answers one of my issues.   But what if you have several locations each with there own numbers?  Do you just add them together?

[oakat418aty]

Hi Bill,

What do you mean by locations? the k1s I received were from the investments I made in a real estate partnership. Each k1 I received shows a summary of the investment made and any distributions they paid me. 

Each one owned apartment units in one location and on one parcel.