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Level 2
March 11, 2026
Question

Partnership K-1, Box 13, Code V - how do I report these amounts in proconnect?

  • March 11, 2026
  • 1 reply
  • 8 views

Hello fellow tax professionals.  I am working on my first 1041 which owns several partnership interests in rental real estate.  The partnership k-1s all have an amount in box 13 with code V. which is a 743b adjustment. Where/how do I enter this amount in proconnect if at all?  All help appreciated.

1 reply

sjrcpa
Level 15
March 12, 2026

The K-1 Codes say that is a negative income adjustment.

Use Other Deductions

The more I know the more I don’t know.
tjt9324Author
Level 2
March 12, 2026

Thanks SJR.  My thought exactly - under First Passive Item - I entered the negative amounts as deductions.  Because the total of those amounts exceeds passive income, a prior year loss for 2026 is generated.  And the K-1s for the beneficiaries has $0 for rental real estate income.  Is that what is expected?

sjrcpa
Level 15
March 12, 2026

Yes

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