Direct K-1 Import/Export best practice tips
Follow these best practice tips for accurate and efficient Direct K-1 imports and exports, including guidance on replacement flags, return types, large file handling, and state return preparation.
- Use the latest2023_1065_DK1_MM-DD-YYYY.xlsDK-1 Comparison workbook, available for download.
- Review the release notes. The release notes are updated whenever there is a change to the DK-1 Comparison workbook. The release notes include changes for federal and state returns, such as new fields added, removed, or modified, for the current release.
- Use the correct replacement flag in the header. The replacement flag defines the manner in which the data fields in the target tax return are initialized. Exports default to anRflag. It is generally recommended that you import with anMflag. Files with headers missing the replacement flag will fail to import.
- A new return (a blank return or with minimal data) works faster and more efficient than an existing return that already has data. When using an existing return, all allocation formulas will activate during the mini compute, which can consume time and resources.
- When using an existing return, turn off thePartner Allocationsoption and suppress theLetters and Filing Instructionsoption in the Organizer before importing data.
- When working with a large import file (approximately 800,000+ lines), divide the file into separate files and import the information into the same locator from each file sequentially. For import files in the range of 500,000–800,000 lines, use theS(Field Level Replacement Flag for Large Files) instead of dividing the file. The S flag should only be used when the import file is sorted first by Group Number and then by Form Name. This automatically splits the import file by Form Name, which requires less memory and completes the import much faster.noteThe smaller the file, the faster the import.
- The estimated time for an import to complete depends on the type of locator (new or existing), number of lines in the import file, and network traffic.
- New returns with 800,000+ lines: 1–2 hours
- Existing returns with 800,000+ lines: 3–4 hours
- If you are preparing state returns that are not included in the DK-1 Import Tool, create a new locator for those states and usePartner Bridgeto import the partner information.
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