That worked! Thank you.

I don't understand why the PS instructions don't say to enter it that way. When I followed the PS instructions, the type of activity changed from "Nonpassive" to "Former" after I entered the loss carryforward on the K-1 worksheet in Section A column b.

All the information is available for PS to track the loss carryforward and to report the PYA correctly on Sch E pg 2. I don't understand why we have to spend so much time figuring work arounds to properly report basis limitation.

Oh well, I'm done griping. I know it won't change anything but I feel better.

Thanks for your help.