Received Amended 2022 and 2023 K1 (1065), how do I proceed with 2022 and 2023 amendments?

[nMsVP4A9rz]

This month (March 2025), I have received an amended 2022 and 2023 K1 (1065).   

Amending 2022 using TurboTax is pretty straightforward but the 2022 amendment changed the following 2022 carryforwards to 2023!

1) Form 8582: Passive Activity Loss Limitations 

2) Form 8995-A (Schedule C): QBI Loss Netting and Carryforward

3) Form 8801: Credit for prior year minimum tax

While amending 2023 taxes, it is easy to make amended 2023 K1 (1065) changes.  But how do I adjust the 2022 carryforwards from (1), (2), (3) above in TurboTax?  Since I already filed 2023 taxes, TurboTax can't go back and re-read the amended 2022 tax data and make the adjustments automatically.  I am thinking that I have to make these changes manually.

But I am not sure how to go about making these adjustments in 2023 amendment along with adding amended 2023 K1 (1065) data.  Please help!

Thanks!

[AmyC]

Maybe. If it changes your 2023 for less than $25 of tax, the IRS would rather not deal with the hassle. You can if you want to or because you still have lots of time to file an amended for 23, it may be worth waiting to see if you get an amended k-1 for 2023.

Personally, unless it is a big refund, I would wait another year and see if you get an amended form or contact them to see if you should expect one. Then decide if you need to file.

[nMsVP4A9rz]

Hi AmyC:

Thanks for your reply!!!

I updated my original post after reading your reply. Is it possible to take a look and provide any inputs you may have?

Thanks!

[DianeW777]

Once you have the updated K1 for 2023, you can make the manual adjustments by amending and then decide if you need to amend the 2023. Meanwhile you have two options. 

1. File your 2024 tax return with the information you have from 2023.
2. Create the 2023 amended return for the corrected K1 then make the changes in your 2024 return before  you file.

Your entry instructions for your changes noted in your question - these should carry to the appropriate forms from the K1 entry:

1. Form 8582 - The K1 will have a changed number which is what you will enter in the K1 (TurboTax will automate to the 8582)
2. Form 8995 - To include your QBID carryforward loss so that it is not lost you can use the steps below if you don't enter from your K1 (it should be on your K1 Box 20, Code Z, also known as Section 199A) 
   • Income and Expenses > Other Business Situations  > Net Operating Loss/QBI Carryforward Loss
3. Form 8801 - Deductions and Credits > Estimated and Other Taxes Paid > Credit For AMT Paid in a Prior Year 

Again, as @AmyC indicated, if the changes are so minimal there is no tax affect, then an amendment may not be needed.

[nMsVP4A9rz]

Hi DianeW777:

Thanks for your reply!

I was able to do #1 and #2.

But for #3, I am not able to find in TurboTax ONLINE where/how I can modify form 8801-line 19 value (2022 credit carryforward. Enter the amount from your 2022 Form 8801, line 26)

Following your instructions, TurboTax ONLINE just telling me this. Please help!

------------------
Congrats, you get a tax break

Alternative Minimum Tax Credit
Your $123 credit just saved you money on your taxes this year.

For next year, you have $567 carryover
--------------

Thanks!

[DianeW777]

Try to include your 2022 carryover with any prior carryovers if applicable (combine them), and then correct Form 8801 before you mail your return.

@nMsVP4A9rz 

[nMsVP4A9rz]

Thanks @DianeW777 for your reply.  I could manually make the changes and mail the amendment.

Although, I am still looking for a permanent solution to this issue as 2024 Taxes should have 8801 changes too and they will continue for foreseeable future until all the credits from 8801 are exhausted.  I can't possibly make manual changes and mail the tax returns every year.

The difference in AMT credit between what is TurboTax ONLINE is using for 2023 amendment vs what my 2022 K1 amendment generated is about $76. I am not sure if this amount can be ignored.

Thanks!

[DianeW777]

Your feedback is appreciated and I will pass it on. For now, the advice is the same by including your 2022 carryover with any prior carryovers if applicable (combine them), and then correct Form 8801 before you mail your return.

@nMsVP4A9rz 

[nMsVP4A9rz]

Thanks @DianeW777