TaxAct^® supports up to 50 Partnership Schedules K-1 (Form 1065) Partner’s Share of Income, Deductions, Credits, etc. with electronic filing of the return still being possible. If a taxpayer has more than 50 to report, there is a work-around, however a paper return will need to be filed.

The work-around is to combine multiple K-1 together to achieve a total of 50 in the program. It is important to combine the Schedules K-1 before entering them in the program to ensure that any passive limitations will be applied correctly to the return in total.

Be careful not to combine Schedules K-1 that do not have similar entries or characteristics (i.e. you would not want to combine ones that have material participants (non-passive) with ones that have non-material participants (passive)). Likewise, you would not want to combine partnerships where some investment is at risk (Form 6198 At-Risk Limitations) with those where all investment is at risk (no Form 6198).

Note. If applicable, you would not want to combine regular partnerships with Publicly Traded Partnerships (PTPs).

As the printed return will include information on a combination of partnerships, you will want to include a statement breaking down each group of partnerships reflected in the return.

Note that any link in the information above is updated each year automatically and will take you to the most recent version of the webpage or document at the time it is accessed.