I'm working w/ a client who has a partnership w/ several siblings....
Once his father passed, they inherited several rental properties. This year, they sold a few of them and he now has about a $58,000 distribution in excess of his adjusted basis.
I am assuming this is reported as a gain on the Sch. D.
My concern is that the CPA did not account for the gain on the NC K-1. For some reason, this is making me think twice as to whether it is a gain on the Federal as well.
I am hoping someone, preferably from NC
, can help me understand why this would not be calculated onto the NC K-1.
Client is a nonresident of NC (SC resident). I am assuming that the gain should be reported to NC based on the NC Tax Manual.
Any help would be greatly appreciated!!!
Once his father passed, they inherited several rental properties. This year, they sold a few of them and he now has about a $58,000 distribution in excess of his adjusted basis.
I am assuming this is reported as a gain on the Sch. D.
My concern is that the CPA did not account for the gain on the NC K-1. For some reason, this is making me think twice as to whether it is a gain on the Federal as well.
I am hoping someone, preferably from NC
, can help me understand why this would not be calculated onto the NC K-1. Client is a nonresident of NC (SC resident). I am assuming that the gain should be reported to NC based on the NC Tax Manual.
Any help would be greatly appreciated!!!