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Level 2
July 16, 2026
Question

How do I allocate Gross Nonfarm Income to only 2 individual partner K1s and none to the corporate partner's K1?

  • July 16, 2026
  • 2 replies
  • 42 views

I'm new to ProConnect Tax Online. I'm working on a partnership return that has 2 individual general partners and 1 corporate limited partner. I need to allocate the Gross NonFarm Income to the 2 individual partners (33.3% each) and none to the corporate partner. I've tried using the special allocation screen to input the dollar amount allocations to the 2 individual partners and putting in $0 for the corporate partner - this leaves an unallocated amount equal to 33.3% of the total. No matter what I do, the program still wants to allocate all of the dollar amount and puts the unallocated portion into one of the individual partner's K1, thus giving them 66.66% of the total. I've tried researching this and from all accounts, it seems I'm doing it correctly on my end. Has anyone else run into this issue and figured out a way to have this show correct on the K1s?

2 replies

sjrcpa
Level 15
July 16, 2026

What’s the harm in allocating 1/3 to the corporation?

The more I know the more I don’t know.
Level 2
July 16, 2026

Nevermind, I was interpreting the Form 1065 instructions wrong. I tried to delete this post but can’t seem to find where to do that.