K-1 loss carry forward

Forum|Forum|6 years ago
May 14, 2020
1 reply
26 views

My K-1 reported a loss for tax year 2016. In 2017 there was a gain, but for less than the loss in 2016. Turbo tax applied the appropriate amount of the loss and I did not owe tax on the 2017 gain. In 2018 there was a gain on my K-1 again. Why didn't the remaining loss from 2016 come forward to be applied to the 2018 gain, and where and how do I enter it?

DavidS127

Level 13

More information may help resolve your issue. For example, why were you not able to "use" the K-1 loss in 2016 to reduce your taxable income (e.g., was it a loss from a passive activity such as rental property, or did you not have basis to take the loss)? And, is the type of income on your 2018 K-1 the same "type of activity" (ordinary income vs rental income vs royalty) as the loss in 2016 and the income in 2017?

Passive losses for activities such as rental properties can only be offset against passive income.

It would be good to understand why TurboTax didn't carryover your loss from 2018 to 2019. To do so, you can take a look at the Federal Carryover Worksheet and/or Form 8582 from you 2018 tax return (and also within your 2019 tax return) to understand "what happened" to your carryover.

[Edited 5/15/2020|3:29pm PST]

@tammysteele1951

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"