1065 capital acct

[DTS]

New client needs to file a final return to take remaining amortization. K-1s from '06 show nothing in the captial accounts and client does not know what her basis is or for any partner. No balance sheet for '06. No income for '07.

Question:

If I do not prepare the 1065, but do prepare the 1040, I do not have to track the basis of any partner. Correct? Can I prepare the closing 1065 and 1040 without tracking basis? I need to clarify this.

Thank you!

[veritas]

The partner

is responsible for computing his\her basis.

[DTS]

Veritas, a follow-up question

So, it's OK for me to prepare the final 1065 and K-1s with no basis shown and then prepare the 1040?

Thank you.

[veritas]

You ultimately

will be responsible to help your client with the basis computation.

The final K-1 won't have any ending amounts in the capital section.

[DTS]

Veritas

Thank you!