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1065 basis

davidparthur
Level 1

Can't figure out why amounts entered in the K-1 wks on the "other adjustments" lines under Capital and Basis don't flow to the K-1's?

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JRC
Level 5

You can allocate to only those involved either using numbers or letters for percentage or amounts. Enter in the box on schedule M2. Then go the individual partners k1 worksheet and enter either the percentage or amounts matching the number or letters you entered on the M2. If I'm wrong I will check tomorrow morning.

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6 Replies 6
sjrcpa
Level 15

EDIT: Because they are non tax adjustments?

Misread the question. 


ex-AllStar
davidparthur
Level 1

New partner bought partnership interest from other partners.  He now owns 10% and they each own less than original.  So their inside basis needs to be adjusted.

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PATAX
Level 11

Yeah sometimes the K1 related worksheets on the partnership module are a little bit tricky... Maybe try to see if you can direct enter it.... good luck

JRC
Level 5

Use the Schedule M-2 (Lines 4 or 7).

davidparthur
Level 1

Doesn't that flow through to all partners?  I need to make changes to the basis of only the partners that sold part of their interest and to the new partner.

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JRC
Level 5

You can allocate to only those involved either using numbers or letters for percentage or amounts. Enter in the box on schedule M2. Then go the individual partners k1 worksheet and enter either the percentage or amounts matching the number or letters you entered on the M2. If I'm wrong I will check tomorrow morning.

View solution in original post