@jholley13109 wrote:
Is money that I have to put in a partnership, in order to cover operating expenses, deductible?
If you are a partner in the partnership it is mostly likely nothing more than a contribution to capital, which increases your basis but is not reported on your income tax return as an expense that would be deductible.
However, see https://www.irs.gov/instructions/i1040se#en_US_2022_publink24332td0e1927
Unreimbursed Partnership Expenses
You can deduct unreimbursed ordinary and necessary partnership expenses you paid on behalf of the partnership on Schedule E if you were required to pay these expenses under the partnership agreement. You can only deduct unreimbursed expenses on Schedule E that are trade or business expenses under section 162. Don't report unreimbursed partnership expenses separately if the expenses are from a passive activity and you are required to file Form 8582; otherwise, do the following.
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Enter unreimbursed partnership expenses from nonpassive activities on a separate line in column (i) of line 28. Do not combine these expenses with, or net them against, any other amounts from the partnership.
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If the expenses are from a passive activity and you are not required to file Form 8582, enter the expenses related to a passive activity on a separate line in column (g) of line 28. Do not combine these expenses with, or net them against, any other amounts from the partnership.
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Enter “UPE” in column (a) of the same line.
