Schedule K-1 and Schedule K-3

[CC-GA]

I am filing an Amended 2021 return now that I have the K-3 referenced on my K-1. However, I am getting an error in Turbo tax. It says: Partnership Additional Info 1: Foreign other expense allocated at Partner level are listed, but no foreign source income at the individual level level gas been listed in K-1 Additional Info worksheet line 1.   I have been over the K-1 and K-3 multiple times. It is a domestic partnership. There is nothing checked on either to say it is foreign expense. There is no foreign expense or income on the K3.  Any suggestions on how to eliminate the error? 

[JohnB5677 · Accepted solution]

There is a New exception to completing Schedule K-3.

“Under a new exception, in certain cases, partnerships with no or limited foreign activity are not required to furnish Schedule K-3 to you for tax years beginning in 2022. See Domestic Filing Exception in the Partnership Instructions for Schedules K-2 and K-3 (Form 1065)."  New exception to completing Schedule K-3

Also see:  Domestic filing exception (exception to filing Schedules K-2 and K-3)

  If this does not completely answer your question, please contact us again and provide some additional details.

[slaksh]

I am also getting the same error. I have received a K3 from the partnership and it has no foreign source of income and I believe I have entered all the information correctly but upon running the review at the end it keeps throwing the same error. Entering 0 or leaving the other expenses allocated at partner level in the Foreign column blank is not working. Any thoughts on how to get past this error will be much appreciated.

[Mike9241]

if there was no foreign source income there was nothing to enter since most parts of the K-3 are not covered in turbotax. uncheck the k-3 box on the k-1

[FigsMan]

I had to uncheck the "do you have a K-3 form" and then reload it several times and then the error miraculously went away.