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Level 1
posted Sep 5, 2023 4:47:03 PM

K-1 sales schedule: Columns 10 and 11

Can someone clarify the use of columns 10 & 11 on the 2022 MLP Sales Schedule?  I'm trying to understand if the values in these columns replace values in columns 5 & 7 for those states that don't conform to federal rules regarding Bonus Depreciation.  Additionally,  are the "cumulative adjustments to basis" (column 5 or 10) primarily the cash distributions received on the MLP units during the period of ownership prior to sale?

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1 Replies
Level 15
Sep 5, 2023 8:36:29 PM

if your state does not allow bonus depreciation substitute column 10 for column 5 and column 11 for column 7 but only on the state return.

 

the cumulative adjustments to basis column includes distributions and losses/deductions that decrease basis and income items that increases basis.

 

it should be about the same as the total/net of these lines on schedule L for all the years of investment


Current year net income (loss) . . . $ treat income as + loss as  -
Withdrawals and distributions $ ........don't use this line for the final year since it's a plugged number to zero out ending capital instead use the amount from 19A for the final year.   treat as - 

might be off a couple of $ due to rounding.