Spook-tacular K-1
Box 20, Code Z, gives the information needed to calculate this deduction for pass-through income.
What is the Section 199A (QBI) deduction?
You go to this screen in TRACK when you want to add an investor in a partnership. Adding a lower tier investment means going to the same screen, but in the lower tier FT entity and adding your upper tier entity as an investor.
What is Ownership?
This limitation, reported on Form 8990, caps the deduction for business interest expense.
What is 163j?
Of the four fund types, this one invests in other funds rather than directly in companies or securities.
What are fund-of-funds?
Item K reports your share of partnership liabilities in three categories: recourse, nonrecourse, and this type of financing, which matters for the at-risk rules.
What is qualified nonrecourse financing?
This is what TRACK stands for.
What is Tax Reporting and Compliance for Subchapter K?
These two factors could trigger a Schedule M-3 filing.
Possible answers:
1. The amount of total assets at the end of the tax year is equal to $10 million or more.
2. The amount of adjusted total assets for the tax year is equal to $10 million or more.
3. The amount of total receipts for the tax year is equal to $35 million or more.
4. An entity that is a reportable entity partner owns or is deemed to own, directly or indirectly, an interest of 50% or more in the partnership.
Both VC and PE funds typically charge this annual fee, often around 2% of committed capital, to cover the GP’s operating costs.
What is the management fee?
These frightening twins have the same birthday. (DOUBLE JEOPARDY!!)
Who are:
1. Ashlee & Danny
2. Grace & Gio
When your share of partnership liabilities on the K-1 decreases from the prior year, the decrease is reported on this line with this code.
In TRACK, the “Paid or Accrued” checkbox for foreign taxes in Part III of the K-3 is updated here.
What is Demographics?
A U.S. shareholder of a CFC attaches this form to their income tax return.
This fund type typically offers investors periodic liquidity through redemption windows, while VC and PE funds lock up capital for roughly 10 years.
What is a hedge fund?
Who brought watermelon to our post 9/15 event?
Who is Ashlee?
Box 17 reports items needed to figure this parallel tax system, including depreciation adjustments.
What is the Alternative Minimum Tax (AMT)?
These two things have to be checked in "Capital Activity" and "Allocations" in order for transfers to perform correctly.
What is
1. "Perform Ending Capital Transfer" checkbox.
2. "Apply all break periods" in the allocation code.
(Optional) 3."End of Period" checkbox
A foreign corporation with no U.S. office or place of business must file Form 1120-F by the 15th day of this month after its tax year ends.
What is the 6th month?
In PE and VC funds, this clause lets LPs get back carry that was paid to the GP too early, if later losses leave the fund below its preferred return.
What is a clawback?
This person got a hole-in-one during our 2026 New Hire Day.
Who is Emily?
For Self-employment income reported on Line 14 - The 12.4% Social Security portion of self-employment tax stops once your earnings hit this annual limit, which is adjusted each year for wage growth, while the 2.9% Medicare portion has no such cap. Points awarded if you are within $20,000.
What is $184,500?
You have to go to these 3 places to input information in order for the 926 and 199a Footnotes to print correctly.
1. Book to Tax (Allocable Item)
2. Footnote Reportable Entity
3. Footnote Details
In classifying partners as active or passive for purposes of the Analysis of Net Income (Loss) on page 6 of the 1065, if a partnership's principal activity is this type of activity, classify all partners as active.
What is portfolio activity?
This term describes a GP-led deal in which a PE firm moves one or more of its existing portfolio companies into a new vehicle, letting current LPs cash out while new investors come in.
What is a continuation fund/continuation vehicle?
This restaurant was the 2nd most chosen option in the weekly polls for Monday lunch in 2026.
What is:
1. Pizzeria Limone
2. Flower Child
(You get credit if you say either one)