Discussion:Schedule K-1 Flow Directly to Schedule C

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Kevinh5 (Talk | contribs)

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JCCPA (Talk | contribs)
(Thanks, Kevin.)
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Next, I think you need to explain what 'disregarded' means to your client.}} Next, I think you need to explain what 'disregarded' means to your client.}}
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 +{{ForumReplyPost|UserID=JCCPA|Date=8 May 2009|Text=Thanks, Kevin. Appreciate your input and advice. Client knows what disregarded means. Client has business in both entities that it would like to keep separate for "legal" reasons. Additionally, client would like to keep HOD inside Schedule C and other expenses (automobile) as opposed to doing UPE for a Partnership.
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 +The main point was do any folks have the situation of a Schedule K-1 flowing directly to a Schedule C? My colleagues and I are curious - one is on Lacerte and two of us are on Pro Series and we do not see any input areas for a K-1 to go directly to Schedule C.}}

Revision as of 16:58, 8 May 2009

Discussion Forum Index --> Advanced Tax Questions --> Schedule K-1 Flow Directly to Schedule C
Discussion Forum Index --> Tax Questions --> Schedule K-1 Flow Directly to Schedule C

JCCPA (talk|edits) said:

8 May 2009
This may seem like a dumb question, however, I can't find a quick answer and have asked two colleagues the question and no one has come accross it before. Client is a SMLLC, filing on Schedule C. Client is also becoming a Partner in a new LLP. Client would like to have the SMLLC, as filing on Schedule C, be the Partner in the new LLP and not herself individually.

Question - There does not appear to be a direct flow from a K-1 into a Schedule C (as if the SMLLC were the Partner). Conclusion would be to put on Schedule C, Line 6 "Other Income." The LLP will be non-passive re: will be subject to S-E tax, in case anyone was wondering.

What do others think?

Kevinh5 (talk|edits) said:

8 May 2009
I think you need to call the tax shots, not the client.

Next, I think you need to explain what 'disregarded' means to your client.

JCCPA (talk|edits) said:

8 May 2009
Thanks, Kevin. Appreciate your input and advice. Client knows what disregarded means. Client has business in both entities that it would like to keep separate for "legal" reasons. Additionally, client would like to keep HOD inside Schedule C and other expenses (automobile) as opposed to doing UPE for a Partnership.

The main point was do any folks have the situation of a Schedule K-1 flowing directly to a Schedule C? My colleagues and I are curious - one is on Lacerte and two of us are on Pro Series and we do not see any input areas for a K-1 to go directly to Schedule C.

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