Author Topic: Anyone else have experience with Tax Form K1 (partnership distributions)?  (Read 7182 times)

ZMonet

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I owned The Blackstone Group stock this year (have since sold) and my Ameritrade statement says that I received a partnership distribution in 2013 (a whopping $71).   Does this mean that I need to wait until I get a K-1 from Blackstone before I can file my taxes?  Thanks for any help.  Not the end of the world if I need to wait, but they are done other than this and I'd like to clear it off my plate if possible.

Bank

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Re: Anyone else have experience with Tax Form K1 (partnership distributions)?
« Reply #1 on: February 21, 2014, 01:35:35 PM »
Partners in LP's are generally not taxed on distributions.  You should be getting taxed on your pro rata share of partnership earnings, which you won't know until you get your K-1.  However, I don't know a lot about Blackstone's LP structure, so I will defer to those on this board who are actually tax professionals.

Midwest

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Re: Anyone else have experience with Tax Form K1 (partnership distributions)?
« Reply #2 on: February 21, 2014, 02:04:33 PM »
If it's outside an IRA or tax deferred account, wait on the K-1.  Distributions are taxable to the extent they exceed basis, but either way you need to report the activity from the K-1.

ZMonet

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Re: Anyone else have experience with Tax Form K1 (partnership distributions)?
« Reply #3 on: February 21, 2014, 05:16:12 PM »
Thanks for the input -- really appreciate it.  Yes, it was in a taxable account.  I'm all in index funds now, so that won't be an issue going forward. 

If I haven't received it by April 15, should I file and amend or request an extension?  I'm due a refund so there shouldn't be interest issues.  Never had to deal with this.

Beaker

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Re: Anyone else have experience with Tax Form K1 (partnership distributions)?
« Reply #4 on: February 21, 2014, 05:24:47 PM »
Yes, it was in a taxable account.

That's good - holding an MLP in a tax-advantaged account can have some really bizarre tax consequences. I think it's something related to pass-through deductions, but I'm really not sure. I've Googled and asked about it, but I'm not convinced that anybody really understands it. Most everyone I've talked to stops at "just don't do that."

Nords

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Re: Anyone else have experience with Tax Form K1 (partnership distributions)?
« Reply #5 on: February 22, 2014, 08:10:30 PM »
If I haven't received it by April 15, should I file and amend or request an extension?  I'm due a refund so there shouldn't be interest issues.  Never had to deal with this.
When a company issues K-1s, you can contact them to ask when they'll have them in the e-mail. 

Depending on the sum of money involved, it's slightly less paperwork to extend and file later.