topic K-1 1120S Disposition of shares error in Business & farm

K-1 1120S Disposition of shares error

Niks — Fri, 27 Mar 2020 20:01:13 GMT

When trying to complete my personal tax return that has a Schedule K-1 1120S Form, there is an error that pops up and it says I need to fill out Part II of the Additional Information. It’s the section that says “Disposition of S Corporation Shares.” The problem is, there was no disposition of S corporation shares. There is nothing listed on box 17 of the K-1, which is why this worksheet is generated, I think. There is something for Box 17 Code V, but that is it. I feel like this is an error that it is asking for this information, and I don’t know how to get past it. Any ideas?

Re: K-1 1120S Disposition of shares error

Niks — Fri, 27 Mar 2020 20:34:56 GMT

See image for more info...

Re: K-1 1120S Disposition of shares error

ThomasM125 — Mon, 30 Mar 2020 20:56:06 GMT

Code "K" in box 17 of schedule K-1 would indicate that you disposed of business property that had section 179 depreciation associated with it. I suggest you go back through your schedule K-1 entry and see if you checked code "K" in box 17, and if so you should delete it if it doesn't apply to you.

If you do that and still have the same problem, or you didn't choose the code "K" option, then you should delete the K-1 schedule and re-enter it.

Re: K-1 1120S Disposition of shares error

cckahoona — Wed, 01 Apr 2020 00:17:36 GMT

Deleted the K1 as suggested and reentered but also believe leaving % shares blank caused this as well.