IRS Form: Partner’s Instructions to Schedule K-1 Clarified (IRC §6031)

March 18, 2021, 5:00 AM UTC

Clarifications to the 2020 Partner’s Instructions for Schedule K-1 (Form 1065) adjusts the language in the Worksheet for Adjusting the Basis of a Partner’s Interest in the Partnership, the IRS released March 18. The worksheet can be used by each partner to maintain a record of its basis as it is not filed with the IRS. The line 10 instructions are corrected to read: Include business interest expense as a separate loss class. [IRS Form 1065]

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