Tax Pros Find Workarounds for Late or Erroneous Schedules K-1

Tax attorney Lee Meyercord spoke to Tax Notes about what partners should do if they did not receive a Schedule K-1 or received an inaccurate Schedule K-1. Ms. Meyecord said that in either situation, a partner may acknowledge the potential disparity in Part III of Form 8082 and provide an estimate of the accurate partnership items.

"There can be some unexpected limits on refunds in the BBA rules because of the so-called stranded overpayment problem, so we also recommend partners be careful not to significantly overestimate the tax because their ability to get a refund in the reporting year may be limited," she said.

READ: Tax Pros Find Workarounds for Late or Erroneous Schedules K-1 (Subscription required)