Exception from filing Schedules K-2 and K-3
Schedules K-2 and K-3 were added for the 2021 tax year. Use them to report the foreign transaction information you previously reported on Form 1065, Schedule K.
Schedule K-2
Schedule K-2 is an extension of Form 1065, Schedule K. You use this form to report items related to international tax from the operation of the partnership.
Schedule K-3
Schedule K-3 is an extension of Schedule K-1 (Form 1065). This form lets you report to partners their share of the items reported on Schedule K-2. Partners have to include the information reported on Schedule K-3 on their tax or information returns.
Exception from filing Schedules K-2 and K-3
There's an exception to filing Schedule K-2. To meet the exception, the partnership has to notify the partner that they won't provide Schedule K-3 unless the partner requests it. You can provide this notification as an attachment to the Schedule K-1.
UltraTax/1065 prints the Schedule K, line 20c, and Schedule K-1, line 20AH statements when you mark the
Print Sch K and K-1 statements when exception to filing Sch K-2 is met
checkbox. To go to this field, select Setup
, 1065 Partnership
, Other Return Options
, then the Return Presentation
tab.- To have UltraTax/1065 print the Schedule K, line 20c, and Schedule K-1, line 20AH statements, selectSetup,1065 Partnership,Other Return Options, then theReturn Presentationtab.
- Mark the box for thePrint Sch K and K-1 statements when exception to filing Sch K-2 is metfield.
