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Returning Member
posted Mar 20, 2020 3:07:00 PM

WHAT IS THE PRINCIPAL PAYMENT UNDER ENTER DISPOSITION PRICES 1ST BOX SALE PRICE 2ND BOX PURCHASE PRICE 3RD BOX PRINCIPLE PAYMENT?

0 10 1821
10 Replies
Expert Alumni
Mar 20, 2020 5:18:09 PM

Please advise some more details on what form/information you are trying to enter into the software. This is a public forum, so we cannot see your return or your account. 

Returning Member
Mar 21, 2020 6:13:32 AM

I'AM WORKING ON SCHEDULE K-1 FORM 1065. MY WIFE SOLD HER BUSINESS.

Expert Alumni
Mar 23, 2020 1:00:37 PM

What box number are you working with on your K-1 form entry when you see that question?

Returning Member
Apr 11, 2021 2:07:03 PM

Hi, I have the same question. I purchased and sold a Publicly Traded Partnership and received a schedule K-1. In Turbo Tax, under the section "Enter Disposition Prices" line 3, "principal Payments". What does this Principal Payments refers to? 

I cannot find any word says "principal payments" on my schedule K-1. 

Thank you in advance,

Zenozen

Level 1
Mar 25, 2022 4:49:30 PM

I have the same question. Where can I find "Principal Payments" on Schedule K-1?

Expert Alumni
Mar 26, 2022 8:58:44 AM

Principal payments are debt repayment that may reduce the net sales proceeds you received. If the only reduction to the sales price for your transaction was for selling expenses (commissions), then you would leave the "principal payments" box blank.

Level 3
Mar 28, 2022 3:30:31 PM

What should I put in the Cost of Sale in the next screen for "Enter Disposition Information" page?  Do I enter the total cost basis or just the commission?

 

Thanks,

 

Mei

Expert Alumni
Mar 28, 2022 3:52:36 PM

Yes, the cost of sale is the commission. There should be a separate field for the basis. 

Returning Member
Apr 2, 2022 7:35:20 PM

If I didn't take any loan when initially purchasing the partnership, does that mean the principal payments are 0?

Expert Alumni
Apr 3, 2022 4:24:12 AM

Yes, if no loan was repaid with your sales proceeds, leave the principal payments box blank (or zero).