Question

Final K-1 (Form 1065) for LLC

Forum|Forum|3 years ago
April 17, 2023
1 reply
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I received a Final K-1 for 2022. I am not sure if I should select No Entry or Complete Disposition. When I select Complete Disposition it asks for "Sales Information, Sales Date, and Selling of Interest." I only received my K-1 and Schedule RK-1, that has none of this information. Would it be ok if I selected "No Entry"

TurboTax Free Edition Online

M

mglauner

Yes, if you didn't sell your share to another individual, you can choose 'No Entry' for your Final K-1.

Here's more info on No Entry/Complete Disposition.

@ijr222

D

dpalmour

Based on the entries you propose of "This partnership ended in 2023" and "no entry", the K-1 should look like this, and that should be the end of it.

Instead, TurboTax is treating this as if the checkbox "Partner sold or otherwise disposed of the entire..." is checked. This causes an error to be reported when I try to complete my return since there is another form ("Schedule K-1 Partnership Additional Information") needed if the "Partner sold..." checkbox is checked. However, my return should not need this additional information form.

How can I complete the final K-1 correctly and complete my return when TurboTax is incorrectly requiring the additional form?

Solution:

I was able to resolve this issue by deleting the K-1 forms and starting over. Apparently, I had originally selected something other than "No Entry", but when I updated the answer to No Entry, TurboTax did not clean up after itself.

Deleting the K-1 forms and entering without making any mistakes or changes solved the problem.