Question

Which one of the following is not shown on the partnership's Schedule K on Page 4 of Form 1065?

1) The partnership's tax preference and adjustment items.
2) The partnership's separately stated income and deductions.
3) The partnership's self-employment income.
4) The partnership's investment (portfolio) interest expense.
5) The partnership's net operating loss carryforward.

Answer 1

The partnership's self-employment income is not shown on the partnership's Schedule K on Page 4 of Form 1065. Hence, the correct answer is option 3.

Step-by-step explanation:

The item that is not shown on the partnership's Schedule K on Page 4 of Form 1065 is the partnership's self-employment income.

On Schedule K, you will find the partnership's tax preference and adjustment items, the partnership's separately stated income and deductions, the partnership's investment (portfolio) interest expense, and the partnership's net operating loss carryforward. However, self-employment income is not included in Schedule K as it is typically reported on the individual partner's Schedule SE (Form 1040).