Review the K-1 form and use it for filing your US tax returns. Services like TurboTax can make this easy.
Receiving a Schedule K1 form from HoneyBricks is an important part of your investment experience. The form provides information about your share of an investments income, deductions, and credits for tax purposes.
If you have not filed a K-1 before, you will find that it is fairly straightforward. For example, here's how to file a K-1 with TurboTax.
You will only receive tax forms for investments that you owned at the end of the previous financial year
Once you receive the form, take some time to review it and consult with your tax advisor or accountant to properly report the information on your tax returns.
HoneyBricks does not provide legal or taxation advice and we recommend you use a tax professional. Some general guidelines that we can provide are:
- Partners and shareholders are generally not required to attach their K-1 forms to their tax returns.
- If the sum of your net-income on line 2 of your K-1 and your net-capital gain/loss on line 8 and line 9a are positive, then you have a tax liability
- If the sum is negative or 0, then you have no tax liability, and some tax advisers may advise that you can opt to not file that K-1
If you have any questions about the K1 form or need assistance with filing your tax returns, please reach out to HoneyBricks or speak with your accountant or tax adviser.