K1- At Risk Loss carry over. Ordinary Loss vs Portfolio long term loss?

[sam992116]

I had ordinary loss within K1 and most of it was disallowed and it become carry over to this year.

Once I filled out K1 info, Turbo Tax is popping up At Risk limitation allocation work sheet for me to manually add number.

Carry over loss is easy (category A, line1 ) and there is Category B line 2a Sch D. it is asking Portfolio short term and Portfolio long term Capital (gain or loss).

I looked at last years work sheet. Turbo tax automatically filled out Ordinary loss Line A to Long term Capital Loss (line F) within worksheet.

Q. For this year. Long term capital loss is "same" as Long term Portfolio Capital? If I enter last years LOSS it reduces my tax.

Are Long term Capital loss and Long term Portfolio loss 2 different things?

[tagteam]

@Mike9241 

[Mike9241]

please explain completely what was reported on k-1 in 2021.  income items increase your at-risk amount. losses and deductions then decrease it. so only loss items would have an at-risk carryover.  so if the only loss item on the 2021 k-1 was ordinary then the at-risk carryover would be ordinary.

[sam992116]

Thanks I looked carefully last years Return. There was only ordinary loss to carry over and there was no long term loss.  TT filling out same number twice both in Ordinary income loss and Long term loss. I corrected it manually and went back interview mode and found No errors.

I have few questions, I have entered my answers could you please provide your input, if my choices are correct.

In TT, K1 interview section , after you enter all the Boxes, Box 20 or 21 then there are 6 interview questions.

Q1: I am required to pay supplemental business expenses on behalf of this partnership.    DID NOT CHECK, NOT APPLICABLE

Q2: I have passive activity losses carried over from last year. CHECKED, YES

Q3: All of my investment at risk, CHECKED YES

Q4: I have at risk losses carrying over from 2021. CHECKED YES (WHAT IS DIFFERENCE  BETWEEN THIS AND Q 2)

Q5: I have personally paid Health Insurance and long term care premium etc ( CHECKED YES, WHAT IS IMPLICATION IF PAID MY HEALTH INSURANCE I AM LIMITED PARTNER? Should I check yes. Health insurance = (medical + dental) or just medical? Does it someone increase or decrease Tax liability?

Q6: I have passive activity credit to claim from the public traded partnership. DID NOT CHECK, NOT APPLICABLE.

Q asked is My taxable income might exceed $170050. What is implication of this number? Which line item of 1040 is taxable income? Is this threshold for QBI deduction?

In 2019 or 2020 or 2021 did you have any activities on your return that were classified as SSTBs or had income attributable to SSTBs?  Why software is asking me SSTB for prior years to 2022?

[sam992116]

Any one?