topic Re: How do I enter K-1 line 20 code AJ information? in Get your taxes done using TurboTax

How do I enter K-1 line 20 code AJ information?

eshemesh — Tue, 10 Feb 2026 11:08:35 GMT

Code AJ is not a choice for line 20 of the desktop K-1 input form. How do I enter Excess Business Loss Limitation information from my K-1 Partner?

Re: How do I enter K-1 line 20 code AJ information?

PatriciaV — Wed, 21 Feb 2024 14:17:33 GMT

Schedule K-1 Box 20 Code AJ is new for tax year 2023. TurboTax has not released the updated forms for this year, which is why you are seeing an out-of-date K-1 in TurboTax for Desktop.

According to the Forms Availability Table, Schedule K-1 is expected to be released on February 21, 2024. Because updates are released after business hours Pacific time, we recommend that you wait until the next day to update TurboTax (if using the desktop version) then retry the K-1 entries.

Re: How do I enter K-1 line 20 code AJ information?

eshemesh — Fri, 23 Feb 2024 18:43:55 GMT

Patricia, thanks for your reply and, yes, the TT update included a K-1 line 20 code AJ selection. Unfortunately, the program does not provide further support for Excess Business Loss Limitation information, and I don't know what to do with it other than put it on line 20! The IRS articles are unclear about this.

Re: How do I enter K-1 line 20 code AJ information?

Do_It_Myself — Sat, 24 Feb 2024 13:57:49 GMT

The program says to manually enter the info for K-1, Box 20, Code AJ. Where or how do I enter it? I have two K-1s that have reported Code AJ info for Gross Income, Gain/Loss on Disp of Prop and Total Deductions. Some guidance on where to manually enter this info would be appreciated. Thank you.

Re: How do I enter K-1 line 20 code AJ information?

Lalo86 — Sun, 25 Feb 2024 01:46:39 GMT

I am having the exact same issues. Please shed some light on this @TurboTax

Re: How do I enter K-1 line 20 code AJ information?

PatriciaV — Sun, 25 Feb 2024 20:27:18 GMT

The information reported on Schedule K-1 Box 20 Code AJ will be used only if your net losses from all businesses are more than $289,000 ($578,000 if filing a joint return).

If that applies to you and you need to enter this manually, you will need to use Forms Mode (available only in the desktop versions of TurboTax). You may also need to manually complete the related Form 461.

Re: How do I enter K-1 line 20 code AJ information?

jeffm5 — Mon, 26 Feb 2024 19:11:17 GMT

I see code AJ in the dropdown, so that's a good first step.

However on the K-1 I received, the value for code AJ consists of 2 line items in a supporting statement (similar code Z, which has a supporting statement with multiple line items). In TT I am eventually asked for and can enter the various components of code Z, but don't see where I can do so for code AJ.

As a separate question, if my aggregate losses are under the threshold, can I just leave the value for code AJ blank and move or will that cause a problem elsewhere?

Re: How do I enter K-1 line 20 code AJ information?

PatriciaV — Tue, 27 Feb 2024 18:31:40 GMT

If your aggregate losses are under the threshold, you may skip entering Code AJ from your Schedule K-1.

@jeffm5

Re: How do I enter K-1 line 20 code AJ information?

Lalo86 — Tue, 27 Feb 2024 20:43:48 GMT

After I subtract deductions from gross income I have a positive $1305 left in gross income between my wife and i’s schedule k-1’s. Do I still need to input code AJ or can I skip? @PatriciaV @GlemmaJ

Re: How do I enter K-1 line 20 code AJ information?

siraseranant — Tue, 27 Feb 2024 21:17:38 GMT

Thank you very much for your answer. The loss was only for a tablet we use for our business which was only $2,000. We are a very small business.

Siraseranant

Re: How do I enter K-1 line 20 code AJ information?

PatriciaV — Wed, 28 Feb 2024 14:24:56 GMT

If you have income, Box Code AJ would not apply to your return. In this case, you may omit the information from Schedule K-1.

@Lalo86

Re: How do I enter K-1 line 20 code AJ information?

typeiierror — Wed, 06 Mar 2024 18:06:27 GMT

Although the code AJ now appears in the forms section for box 20, entering an amount with that code triggers and inappropriate error. It classifies that entry as 'gasification' and wants supplemental information that doesn't apply.

I plan to ignore the error and submit the return anyway. Any other suggestions?

Re: How do I enter K-1 line 20 code AJ information?

PatriciaV — Wed, 06 Mar 2024 21:47:19 GMT

As long as the amount from Line 20 Code AJ has the correct information on the Supplemental Statement A for the K-1 partners, you can ignore the "gasification" message. However, if Statement A references Code AS, you will need to wait until the K-1 updates are released.

Sign up from this page to be notified when the form has been updated: Why am I receiving an error in TurboTax for Schedule K-1 Box 20 when code AJ is selected?

@typeiierror

[edited 3/6/2024 | 1:46pm PST]

Re: How do I enter K-1 line 20 code AJ information?

kwall71 — Thu, 14 Mar 2024 19:45:31 GMT

I spent an hour and a half on the phone yesterday and still did not get a resolution. I had to do the upgrade. I may be able to get more answers here. I am getting the basis of gasification message, asking for a facility number which I don't have and it won't take the Federal Tax ID number. I have had to stop and walk away so many times because I can't get past this.

Re: How do I enter K-1 line 20 code AJ information?

CatinaT1 — Thu, 14 Mar 2024 20:09:04 GMT

This is on the IRS Known Issues Report. There is a workaround provided for this issue. If you enter ""TMXXX99XXXXX" on Line 2a, this will allow you to e-file.

Re: How do I enter K-1 line 20 code AJ information?

typeiierror — Wed, 27 Mar 2024 17:18:41 GMT

2a of which form? Line 2a of K-1 Supplemental form 1065, Box 20, CODE AH to ZZ doesn't allow entry of non-numeric data.

Re: How do I enter K-1 line 20 code AJ information?

PatriciaV — Wed, 27 Mar 2024 21:09:30 GMT

The Registration Number (if requested) is entered on Line 2a of Form 3468.

We expect an update to be released on March 29, 2024, that will address the issues with Box 20. Because updates are released after business hours Pacific time, we recommend waiting until the day after, then updating TurboTax (if using Desktop), and run Review again.

@typeiierror

Re: How do I enter K-1 line 20 code AJ information?

leonkonecny — Sun, 04 May 2025 15:37:18 GMT

Form 461 does not have line to accept Box 20 code AJ amounts. What does Turbo Tax do with Box 20 code AJ amounts?