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Why would a Schedule RK-1 be different than a Schedule K-1??

An owner of Valkyrie Trucking received a Schedule RK-1 from Pennsylvania with an amount double the amount shown on the Schedule K-1. I'm trying to figure out why its different, which form gets filed for her income tax return, and how to fix it so both have the correct number which has been calculated between the three owners.

 

What's odd is the other two members have NOT received a NRK-1 (they're nonresidents of PA).

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1 Reply
KathrynG3
Expert Alumni

Why would a Schedule RK-1 be different than a Schedule K-1??

It depends on additional facts and circumstances why the Schedule RK-1 is so different. It is important that the accuracy is verified before proceeding. 

 

Per the 2019 PA-20S/PA-665 Schedule RK-1 Instructions, page 1:

In the event that the final owner is a nonresident of Pennsylvania, the owner must know Pennsylvania-source taxable income. A partnership, S corporation or limited liability company classified as a partnership or S corporation for federal tax purposes (entity) that fails to file a PA-20S/PA-65, S Corporation/Partnership Information Return will be assessed a $250 non-filer penalty. The $250 penalty also applies to each missing Schedule RK-1 or NRK-1.

2019 PA-20S/PA-65 Schedule NRK-1 Instructions

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