samingeorgia Posted March 1, 2011 Report Share Posted March 1, 2011 I just completed a Form 1065-B for a partnership with over 200 partners. One of the partners had a 25% interest on January 1, 2010, but in June exchanged his partnership interest for another asset, so his end-of-year interest is zero percent. I was under the impression that you would use a weighted average and allocate January through June loss to this guy, but the program shows zero as his loss. I do not see a way to use some kind of weighted average on the K-1 input. Is that right? Does it make a difference that he divested himself of all his interest? Hypothetically -- what if he was a partner right up until December 30? Thanks in advance for helping me reason this out. Quote Link to comment Share on other sites More sharing options...
Gail in Virginia Posted March 1, 2011 Report Share Posted March 1, 2011 Your reasoning is fine. ON the Global Info tab for the Sch K-1, there is a heading for Weighted Average Percentages. If you check the box under this heading and put the date in, then I think you put the individual percentages for each partner between those dates on their input or detail form. I have not personally done any this way, but it looks like it would work. Good luck! Quote Link to comment Share on other sites More sharing options...
samingeorgia Posted March 2, 2011 Author Report Share Posted March 2, 2011 The K-1 input for a 1065-B is not exactly like the input for a regular 1065. However, there is a column beside the columns for "end of year percentages" that I used for allocating the percentages. I took the ownership percentage and pro-rated the loss based on the number of days the partner held his interest. Looks OK to me, I just had to do it manually. Quote Link to comment Share on other sites More sharing options...
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