59220

[#1]

The following diagnostic is generating: When a passive Passthrough K-1 activity contains more than one of the following, these items will be combined may not be reported on the correct lines of the beneficiary's Schedule K-1: ordinary Income, Rental Real Estate Income, Other Rental Income, Other income and deductions-passive. To avoid this ,these items should each be reported separatly on their own Passthrough K-1 activity.(ref.# 59220).

[abctax55]

You need to create multiple K-1 for the different categories of income (ordinary, rental, etc).

Like the diag says...

Did you type that out, or does the official Lacerte diagnostic have those typos?

[debradaz]

HOW DO I CREATE MULTIPLE K-1'S FOR THE DIFFERENT CATEGORIES?

[OldCPA]

Ordinary losses get netted against rental income when it's a partnership to individual so if it's the same in a trust (I have a partnership where the owners are 50% an individual & 50% a trust)  In looking at the trust input in the individual return it's doing the exact same thing the K-1 from the partnership is doing when going directly to the partner.  It worked fine in 2021 & 2022.  This is another mess up by Lacerte for 2023.

You might try ignoring the critical diagnostic by disabling the efile error and see if you can file that way.