I was a partner in an LLC that converted to a C-Corp in 2016 and have a Final K-1. I did not receive any cash in the conversion and assumed equity in the new C-Corp. On schedule K-1 in TurboTax, I have marked Complete Disposition and Sold Partnership Interest. My basis was a profits interest valued at $0 under IRS 83(b) but there were cumulative losses in the LLC. So I put my ending capital account negative amount as my partnership basis for the "Sale". Is this the correct way to report this?
... View more