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Level 2
posted Apr 19, 2022 1:13:59 PM

SEP IRA Contribution Problem With Allocation

Hi,

 

I have 2 business income K-1s
1) LLC 1065
2) S-Corp 1120S

 

I have a SEP IRA contribution and when I added it in Turbo Tax, it is being allocated to the wrong business, when I print my return I see it added to the K1-1065 LLC instead of the S-Corp 1120S where it belongs?

 

Is there a way to fix this?

0 3 447
3 Replies
Level 15
Apr 21, 2022 5:30:59 AM

A SEP contribution made by the S-corp goes on the S-corp's tax return, not on your individual tax return.

Level 2
Apr 21, 2022 4:01:19 PM

No not in all cases, in my case its my choice, I am owner and employee, I can and always do put it on my personal. 

 

Anyway, I already fixed any issues with my Turbo Tax, so I am closing this topic. 

Level 15
Apr 21, 2022 6:28:02 PM

With respect to the S corp there is no choice.  You are not the employer, the S corp is the employer and the SEP contribution is an employer contribution.  All SEP contributions made with respect to the S corp must be reported on the S-corp's tax return and are based on the wages reported on the W-2 issued to you by the S corp.