Quimica

2012

Partner's Instructions for
Schedule K-1 (Form 1065)

Department of the Treasury
Internal Revenue Service

Partner's Share of Income, Deductions, Credits, etc.
(For Partner's Use Only)
Section references are to the Internal Revenue Code unless otherwise noted.

Future
Developments
For the latest information about developments related to Schedule K-1 (Form
1065) and the Partner's Instructions for
Schedule K-1 (Form 1065), such as legislation enacted after they were published, go to www.irs.gov/form1065.

What's New
On the front of the Schedule K-1, we added new item I2 for the partnership to indicate whether the partner is a retirement plan
(IRA/SEP/Keogh/etc.).

General Instructions
Purpose of Schedule K-1

The partnership uses Schedule K-1 to report your share of the partnership's income, deductions, credits, etc. Keep it for your records. Do not file it with your tax return unless you are specifically required to do so.
(See the instructions for Code O. Backup withholding, later.) The partnership files a copy of Schedule K-1 (Form 1065) with the
IRS.
Although the partnership generally is not subject to income tax, you may be liable for tax on your share of the partnership income, whether or not distributed. Include your share on your tax return if a return is required. Use these instructions to help you report the items shown on Schedule K-1 on your tax return.
The amount of loss and deduction you may claim on your tax return may be less than the amount reported on Schedule K-1. It is the partner's responsibility to consider and apply any applicable limitations. See
Limitations on Losses, Deductions, and
Credits, later, for more information.

Inconsistent Treatment of
Items

Generally, you must report partnership items shown on your Schedule K-1 (and any attached statements) the same way that the partnership treated the items on its return.
Jan 30, 2013

This rule does not apply if your