topic Re: K3 question in Get your taxes done using TurboTax

K3 question

Mary0111 — Mon, 09 Mar 2026 06:59:41 GMT

Turbotax Home & Business says that on the K3, Line 54 is on Part II Section 1, but Line 54 is on Part II Section 2. Am I right about this? I want to be sure to enter the correct information and don't want to assume there is a mistake in the instructions.

Re: K3 question

PatriciaV — Mon, 28 Mar 2022 16:19:49 GMT

Yes, you are correct. The line numbers in Schedule K-3 Part II are consecutive through Sections 1 and 2. But Line 54 does fall under Section 2 - Deductions.

Re: K3 question

Mary0111 — Mon, 28 Mar 2022 21:00:07 GMT

Thank you so much for your response. This puts my mind at ease.

Re: K3 question

aE — Sun, 03 Apr 2022 14:08:41 GMT

When I entered the amount from line 54 Schedule K-3, Turbo tax does not update. The partnership is using K-3 for the first time (as am I) but their guidance is the net total amount in line 55 (income Line 24 less deductions line 54) is the most accurate way to depict the net gains. Currently, TT is calculating the tax just on the income amount.

Does it update later in deductions or do I have to manually enter those deductions later?

Thank you

Re: K3 question

PatriciaV — Mon, 04 Apr 2022 20:04:09 GMT

@aE

Please clarify if you entered the info from Schedule K-3 using Step-by-Step or in Forms Mode. Also confirm this is from Form 1065 Schedule K-3.

Re: K3 question

aE — Tue, 05 Apr 2022 09:59:29 GMT

@PatriciaV Step-by-step mode and yes, Schedule K-3 form 1065.

Re: K3 question

PatriciaV — Tue, 05 Apr 2022 15:22:41 GMT

You can review your entries in Forms mode by opening K-1 Partner for this K-1. Check to be sure your entries for Box 16 appear as you entered them and that the form has no errors (red exclamation mark). If this form has the correct numbers, please provide more information on how you are calculating the tax applied to this foreign activity in TurboTax.

Re: K3 question

ANDY012408 — Mon, 27 Feb 2023 19:39:25 GMT

Hello, can I ask you a question

on schedule k-3 part 2 section 1 line 24 shows US source income of $1797

but on turbo tax (foreign gross income - gross income from all sources (collum G )

do I need to enter $ 1797 or just leave it alone since this is not a foreign income ?

thank you

Re: K3 question

ANDY012408 — Mon, 27 Feb 2023 19:42:06 GMT

THANK FOR ASKING THE SAME QUESTION I WAS GOING TO ASKED

ANOTHER QUESTION FOR YOU PLEASE

on schedule k-3 part 2 section 1 line 24 shows US source income of $1797

but on turbo tax (foreign gross income - gross income from all sources (collum G )

do I need to enter $ 1797 or just leave it alone since this is not a foreign income ?

thank you

Re: K3 question

BrittanyS — Mon, 27 Feb 2023 21:22:59 GMT

The K-3 is used to report items of international tax relevance from the operation of a business. If there is no international income, you can uncheck box 16 and e-file your return.

However, you want to make sure you will not be receiving a K-3 at a later date that will include international income. If you receive a K-3 at a later date that provides for international income, you will need to amend your return to have the corrected K-3.

@ANDY012408