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Level 2
July 9, 2026
Question

Partnership form 1065 Opt in or out for section 6221b

  • July 9, 2026
  • 1 reply
  • 10 views

Should a husband-and-wife partnership 50/50, opt in or out of 6221b, line 33 on form 1065? What’s the difference between opting in and opt out. Which is better if the Partnership in case of an audit or any other concern. 

    1 reply

    sjrcpa
    Level 15
    July 9, 2026

    I opt out when able. Read up on what happens with a centralized audit and when and how adjustments are made.

    The more I know the more I don’t know.