This article will show you how to enter Form 8308, Report of a Sale or Exchange of Certain Partnership Interests, in the Partnership return.
Follow these steps to enter Form 8308 in the program:
- From the Input Return tab, go to Miscellaneous Forms ⮕ Sale of Partnership Interests (8308).
- Under Transferor Information (Part I), enter the applicable partner in Partner number of transferor or complete the Transferor information subsection.
- This refers to the person who transferred all or part of their partnership interest through a sale or exchange of money or other property during the tax year.
- This entry results in the partner's name, address, and identifying number printing in Part I based on the entries made in the Partner Information screen.
- Under Transferee Information (Part II), Select the applicable partner in Partner number of transferee or complete the Transferee information subsection.
- This refers to the person who is the beneficial owner of the partnership interest immediately after the transfer of that interest.
- Under Date of Sale or Exchange of Partnership Interest (Part III), enter the Date of sale or exchange.
- In the top right hand corner of the input screen, select Miscellaneous.
- Check the box labeled Print Form 8308 Separately.
- This will print Form 8308 separately from Form 1065 if the partnership is notified of section 751(a) exchange after it has filed its Form 1065.
- The program generates a copy with the Schedule K-1 for the partner selected.
The program may produce the following diagnostics associated with this form:
- Form 8308, Report a Sale of Certain Partnership Interests, was generated with this return. Do not attach this form to Form 1065. Form 8308 must be filed separately. Refer to Form 8308 instructions for information on when and where to file this form. (ref. #427)
- File Form 8308 separately from the return to resolve this error.
- Form 8308 #1: "The Date of Sale or Exchange" is missing. (ref. #10579)
- Enter the date as directed in step 6 above to resolve this error.