ETax847 Posted April 12, 2016 Report Share Posted April 12, 2016 Client received a K1 from her firm which she is a partner. In box 20 code z, she has the following: 2015 keough contribution included in draw 401k contribution included in draw Health insurance included in draw and Life insurance included in draw. Do I need to report these items and if so where and what form? Quote Link to comment Share on other sites More sharing options...
jasdlm Posted April 12, 2016 Report Share Posted April 12, 2016 You are going to have to ask what portion of those items were deduction on the partnership return. Do you have a cover letter? Often, a portion (but not all) of the 401(k) deduction is taken on the partnership return, and the remainder needs to be taken on the individual's return. Do you know the amounts for each item? The firm has a Keough and a 401(k)? Not sure why life insurance would matter. Quote Link to comment Share on other sites More sharing options...
ETax847 Posted April 13, 2016 Author Report Share Posted April 13, 2016 If it were to be taken on the individual's return, where would this take place? Quote Link to comment Share on other sites More sharing options...
Randall Posted April 13, 2016 Report Share Posted April 13, 2016 Seems there should have been an additional statement to explain that box entry. Sometimes the statements are much help though. 1 Quote Link to comment Share on other sites More sharing options...
michaelmars Posted April 13, 2016 Report Share Posted April 13, 2016 I never saw where part of a pension reported on a k1 was paid by the partnership. put in the deductions as if the taxpayer made the payments himself since it was paid with his distribution, it was in fact paid my the taxpayer. Quote Link to comment Share on other sites More sharing options...
Lion EA Posted April 13, 2016 Report Share Posted April 13, 2016 Probably everything except life insurance, right? Partnership reporting can get so creative! Quote Link to comment Share on other sites More sharing options...
Roberts Posted April 13, 2016 Report Share Posted April 13, 2016 17 hours ago, ETax847 said: Client received a K1 from her firm which she is a partner. In box 20 code z, she has the following: Does your software even accept these codes? I can tell you that some don't take z codes in box 20 because they are informational only. Quote Link to comment Share on other sites More sharing options...
jasdlm Posted April 13, 2016 Report Share Posted April 13, 2016 I agree with the comment about taking them from the statement. Interesting: I have seen several partnerships (usually law firms) where a portion of the 401(k) was deducted on the partnership return and a portion on the personal. I've never really thought much about it since I did not prepare the partnership returns, but I have more than one client in more than one firm with k1s like this. Quote Link to comment Share on other sites More sharing options...
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