Final K-1

[ljwalters]

I have a final K-1 and thought there was a place to indicat final on the K-1 input or is that only if you are preparint the partnership return.

ALSO I have a figure on line 20 of the K-1 with V indicator and a -2 amount. The diagnostics says it is not flowing and I have no Idea where it goes. Please help V indicates unrelated business taxable income.

Thanks lind and buddy

[Terry D EA]

The final K-1 should be input on the k-1 worksheet within the partnership return. I don't believe there is an input on the 1040 K-1 worksheet if that is what you are referring to.

Terry D.

[JRS]

There is a check box on the K-1 (1065) input sheet for "final distribution." Line 20 v, does refers to UBTI and in this case, would be ignored.

"UBTI, Unrelated Business Taxable Income, is a concern to tax exempt investors in a hedge fund (or a limited partner whose investment is in a IRA) because the receipt of UBTI requires the tax exempt entity to file a tax return that it would not otherwise have to file and pay taxes on income that would otherwise be exempt, at the corporate rate.

A broker reports UBTI if the amount is more than $1,000. A broker will know this, in most cases, and will repot it on a 990-T and will charge for it.

[ljwalters]

Thanks JRS

That finishes one more return.

Linda and buddy