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posted Apr 8, 2018 3:24:26 PM

k-1 llc pass through

I have a K-1 schedule and the partnership I am in is a pass through.  When I enter the K-1 Form in Turbo Tax and show the loss there is not difference in the tax owed.  I am I needing to do something different.  I have checked that I am at risk of losing some or all I have invested.

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1 Replies
Level 3
Apr 8, 2018 4:02:41 PM

If it's a passive investment (you are not actively involved in running it), you may not get credit on this return for the passive loss. Passive losses can only be offset against passive income. If you look at the K-1 in Forms view, turn to page 3, Section A (only visible in TT, not on your K-1 form), you will see the classification "passive" at the top and the "loss suspended" entries including any carry forwards from prior years. You can use it to offset passive income in future years, if you have any within the allowed number of years.  If you are not a passive investor, you did not enter the correct information or missed a check box along the way.