K-1 from limited partnership in an IRA

[Greenbriar]

I recall a discussion on how to record a k-1 in the client's IRA. Can anyone enlighten me? Thanks.

[TXEA]

the K-1 needs to be sent to the trustee of the IRA. You do not do anything with it.

[Roberts]

the K-1 needs to be sent to the trustee of the IRA. You do not do anything with it.

This is true unless you have a large amount of LP in the IRA. I've never seen it personally but some people supposedly hold those amounts.

[Roland Slugg]

In the OP the question is rather vague. Record a K-1 in an IRA? I'm not sure what that means. The IRA in question might be a self-directed one (SDIRA) in order to be investing in a LP.

In some cases an IRA is required to file a tax return. The most common trigger is UBTI, but there are others. There was a good article about this in the Journal of Accountancy about eighteen months ago, and here is a link to it:

http://www.journalofaccountancy.com/issues/2013/oct/20137626.html