Where should I be adding my PPP and restaurant revitalization fund on form 1065? They are both non-taxable income grants but the proceeds can be deducted.

Do I enter it on line 7 of the 1065 partnership return or should I add it as other tax exempt income (line 18b)? Again, the rules say that the expenses incurred and paid for with the fund are tax deductible.

620

Expert Alumni

Mar 8, 2023 12:45:25 PM

Non taxable PPP grant income is reported on line 16(b) on schedule K of your partnership return Form 1065. You can use the forms mode in TurboTax to find schedule K in the Form 1065 p4-5 option in the list of forms. You can make your entry directly on the line 16(b) of schedule K.

Why sign in to the Community?

Where should I be adding my PPP and restaurant revitalization fund on form 1065? They are both non-taxable income grants but the proceeds can be deducted.