Active participation for General Partner?

[avjunior]

I'm a General and Domestic Partner in a Domestic General Partnership whose primary business activity is 'Rentals' and principle product or service is 'Real Estate'.  My share is 33% and there are three General Partners total.

The partnership return 1065 in the 'Analysis of Net Income (Loss)' section shows all Schedule K amounts in the (ii) Individual (active) column.  The K-1 usually shows amounts in boxes 1 & 2 (OBI and rental real estate).

So this leads me to believe I actively participate (not materially participate) in the passive rental activity and would qualify for the $25k deduction exception for losses for active participation in rental real estate?

Any answers, comments, advice welcomed, thanks.

[Anonymous_]

You should have been presented with the screen depicted in the screenshot below.

[avjunior]

Thanks for your reply!  I did see this easy guide.  However I don't want my return to conflict with the 1065 partnership return.  I don't fully understand the 'Analysis of Income' part but it has columns for individual active and individual passive.  If all amounts for line (a) General Partners are in the active column I'm wondering if that requires my personal return to place me active as well.

[Anonymous_ · Accepted solution]

Passive would typically apply to limited partners (or partners who do not materially participate in the partnership).