K-1 with minor multistate income

[KJ Judd]

New client invested in a production of a play. K-1 shows minor income ($2k) for 2006. However play was performed in 12 states so I have Schedule K-1 equivalents for all of these. Is there any easy way of determining filing requirements? For example, he has $144 AZ income, $174 IL income, etc.

Another issue - he has a second K-1 reporting $2400 NY income. The problem is he's in another partnership where he joined the NY composite return saying he had no other NY income. Does this invalidate including him on the NY composite t/r? Do I need to file NY for the $2400 NY & NYC income?

[JCH]

It varies by state

You'll have to read the filing requirements for each state to determine whether you need to file. Try the state revenue websites for starters.

[Kram BergGold]

My policy

I warn my client "i can prepare a return for XYZ state and charge you $... or you can take a chance they won't come after you for $4 or something". they always take the chance.