topic Re: K-1 Filing issue in Get your taxes done using TurboTax

K-1 Filing issue

Frustrated in GA — Wed, 08 Jul 2020 22:16:11 GMT

The K-1 form box 17 has a drop down for selection of various additional information to be added. One of the selections is coded a 'V' which automatically fills in the description as Section 199A information. It will not allow you to place a V* and the abbreviation of STMT in the description field. However the IRS K-1 documentation states on page 22 concerning the box 17 that the V* with the description of STMT is valid and should bring you to a Statement A form. Below is the IRS verbiage: "For items that can't be reported as a single dollar amount, enter the code and asterisk (*) in the left column and enter “STMT” in the right column to indicate that the information is provided on an attached statement." Non support of this option does not allow the return to be filed. The only work around is to leave box 17 blank and not file a Statement A.

Re: K-1 Filing issue

DavidS127 — Wed, 08 Jul 2020 22:42:26 GMT

For the Section 199A information associated with box 17 code V, enter the code V when you enter the K-1 box 17 screen, but you don't need to enter an amount. Continue on, and you'll find the "We need some more information about your 199A income or loss" screen. This screen must be completed with the numbers from your Section 199A Statement or STMT (aka Statement A). When you check the box next to a category on that screen, a place will open up to enter the amounts from the Statement or STMT that came with your K-1. The applicable category (or categories) on this screen (and the following "Let's check for some uncommon adjustments" screen, if applicable) must be completed in order for your K-1 QBI information to be correctly input into TurboTax for the federal tax return.

Note that UBIA is an acronym for Unadjusted Basis in Assets.

To get back to the K-1 summary screen and find the Schedule K-1 to edit, click the "magnifying glass Search" icon on the top row, enter "k-1" in the search window and press return or enter, and then click on the "Jump to k-1" link to find the K-1 you need to edit.

Here are the screens you are looking for:

Re: K-1 Filing issue

Frustrated in GA — Wed, 08 Jul 2020 23:04:57 GMT

Thanks but after waiting for 2 hours for a return call from TurboTax customer care and trying everything we could think of to make this work. We deleted the V in box 17 and files the return. I searched your help community for an answer before calling for help. I might add that I spent considerable time and effort going through 3 IRS documents with the final one showing the proper way of handling this on page 22 of a 50 page document. I am not a happy customer.

Re: K-1 Filing issue

DavidS127 — Thu, 09 Jul 2020 16:54:49 GMT

Because your Section 199A information from box 17 code V wasn't reported on the tax return you filed, you may want to take a look at what an amended tax return looks like.

Depending on what is reported on that Section 199A Statement or STMT that came with your K-1, filing an amended tax return may result in a refund.

Even if the amount of your taxes doesn't change with an amended tax return, that "not filed" amended return will have the correct amount for any QBI loss carryforwards to 2020.

In other words, I would recommend starting an amended tax return, and once prompted by TurboTax to do so, correctly entering your box 17 code V amounts using the instructions posted earlier. Even if you don't actually file the amended tax return, it will give you "good" numbers for any QBI-related carryforwards that relate to your 2020 tax return.

Click this link for instructions on how to file an amended return with TurboTax.