What Can I Do If My K-1 Omits 199A Information?

Your tax reform’s 199A deduction doesn’t arrive on a silver platter compliments of the IRS.

No. You have to calculate the deduction yourself, and to do so you need to receive complete and accurate K-1 information.

But what happens if the pass-through entity doesn’t provide the complete, necessary information you require? (And by the way, this happens far more often than it should.)

You’ll find clear answers to this important question when you read my new article titled Tax Tips: Q&A: What Can I Do If My K-1 Omits 199A Information?

Three ways our fact-filled article can help you:

1. You’ll find out what happens if your Schedule K-1 is missing Section 199A information. Trouble! If your Schedule K-1 is incomplete, the final IRS regulations presume those missing items to be zero dollars. And this could kill your Section 199A deduction! You’ll get the whole story when you read the full article.
2. We’ll tell you what to do if you’re having problems. Your best option is to request the pass-through entity to correct the Schedule K-1 and report the necessary items on a corrected K-1. Or, you could omit the Section 199A deduction, or claim it using Form 8082, but these options aren’t ideal. We’ll give you all the details when youread the full article.
3. You’ll learn why you have to stay alert. Since both business owners and tax professionals are still figuring out how Section 199A works, we anticipate many Schedule K-1s to have missing or incorrect information. The key point? Don’t assume the Schedule K-1 is correct! We’ll explain everything when you read the full article.