Knowledge Base

11665: 1065 - Entering Partner Capital Accounts

1065 Partnership

Where do I enter partner capital account amounts? Do they flow to lines 1 and 2 of Schedule M-2?

Partner capital account amounts are entered in section L, Analysis of Capital Account, of the K1 screen, including the beginning capital account amount and capital contributed during the year. These amounts flow to Schedule M-2.

For example,

  • an amount entered as the Beginning capital account amount flows to line 1 of Schedule M2.  
  • an amount entered under Capital contributed during the year as Cash contributed will flow to line 2a of Schedule M2.  
  • an amount entered under Capital contributed during the year as Adjusted basis of property contributed will flow to line 2b of Schedule M2.  

Each line displays the total amount for all partners.

Related Links

Also In This Category

On a scale of 1-5, please rate the helpfulness of this article

Not Helpful
Very Helpful
Optionally provide private feedback to help us improve this article...

Thank you for your feedback!

Article has been viewed 36K times.
Last Modified: 10 Months Ago
Rated 5 stars based on 1 vote