K-2/K-3 Guidance Not Quite As Good

Last week we had written that for most farm partnerships that they would not be required to file form K-2/K-3 for this tax year. However, if your farm partnership contains a partnership or a corporation, it appears that you are still required to file these forms.

There is a chance that the IRS will update the instructions to indicate otherwise, but we would not count on it. So for now, only partnerships containing individuals or other entities that are ignored and the owners is an individual such as a revocable trust will not have to file K-2/K-3 if they meet the other requirements.