topic Re: Schedule C question in Business & farm

Schedule C question

19mark56 — Sat, 15 May 2021 18:58:05 GMT

I am a member of a 3 person LLC that owns a farm (for recreation/hunting). I pay a CPA to have the farm taxes completed and it shows a negative value on line 2 of my Schedule K-1 (From 1065). I transferred that loss to my schedule C line 1 and then I checked the box on line 32A. My tax summary at the end shows a high risk of audit with verbiage that doesn't sound like I did it right so I am thinking that is not the correct place for the negative value? I think that negative value on my LLC 1065 is Net Rental income so it makes sense that it is not strictly 'business loss'? Any advice?

Re: Schedule C question

AmeliesUncle — Sun, 16 May 2021 19:20:52 GMT

The amount from your K-1 does NOT go on Schedule C.

There is a section of the program to enter your K-1, and you need to enter it there.

Re: Schedule C question

VolvoGirl — Sun, 16 May 2021 19:24:14 GMT

To enter a K-1 go to

Federal Taxes Tab or Personal (Home & Business version)

Wages and Income

Then scroll way down to Business items

Schedules K-1, Q - Click the Start or Update button

Be sure to pick the right kind of K-1. There are 3 kinds, 1041, 1065 & 1120S

Enter each k-1 separately.