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WSO
Level 3

K-1's Listed in TT state returns that don't apply to that state

How to handle K-1's listed in state returns that don't apply to that state?   TT includes all K-1's from federal return.  Some don't apply to a particular state return where I am a non resident.  I don't see a way to delete these K-1's in each state return.  Do I have to go in, edit each K-1 in a state return and put $0 in column for state on rows where a non zero $ value shows in the federal return column?  Other way?

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2 Replies

K-1's Listed in TT state returns that don't apply to that state


@WSO wrote:

....Do I have to go in, edit each K-1 in a state return and put $0 in column for state on rows where a non zero $ value shows in the federal return column? 


You can certainly enter zero dollar values ($0), or non zero dollar values, on each line, but I have found that the state K-1s actually regenerate somehow whenever a federal K-1 exists in the return package.

 

Regardless, they do not appear to have any negative impact on the other forms in the return and also do not appear to have any negative impact on filing the balance of the state return.

WSO
Level 3

K-1's Listed in TT state returns that don't apply to that state

Two things are missing in TT state forms in regards to K-1's.  1) Ability to stipulate that a particular K-1 doesn't even apply to that state.  2) And if K-1 does have income from that state a way to specify smaller amount that was sourced from that state (only a few TT states provide this feature.  Iowa and many others do not).  If the K-1 rental income/loss values transferred from the federal return are included for state returns and that income/loss was NOT derived from that state, the value will be too much.   I went into TT Forms and see there are versions of the K-1's in the state folder for each state return.  I tried to delete the entire K-1 there but couldn't find a way.  Also tried in forms to manually enter correct state specific amount in the state version of the K-1, but TT wouldn't let me change the value from the transferred federal value.   Without these features income/losses are overstated.  What to do????

 

 

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