Schedule K-2 & K-3 with US LLC, Foreign DRE & US ECI - Part 3

Schedules K-2 & K-3 were introduced during the 2021 tax year. The Schedules should be filed with a Partnership (Form 1065) and S corporation (Form 1120-S) to report the source & character of income allocated to each owner.
The detailed information reported on Schedule K-3 is often needed by both U.S. and non-U.S. taxpayers to accurately file their tax returns.
This video series (Tutorial 2 Playlist) covers a simple example where a U.S. LLC partnership operates as a holding company for a domestic LLC & foreign subsidiary.
The LLC has two members (Jane a non-U.S. person & John a U.S. citizen). The LLC operates two wholly-owned subsidiaries, one of which is based in the U.S., while the second subsidiary is in Switzerland. Both subsidiaries are treated as disregarded entities for federal tax purposes.
For other K-2 & K-3 tutorials covering different fact patterns, please see the following playlists and videos below.
Tutorial 1: U.S. Partnership LLC with Foreign DRE & No ECI
1. Intro & Fact Pattern: • Schedule K-2 & K-3 wit...
2. Form 1065 Pages 1 to 5: • Schedule K-2 & K-3 wit...
3. Schedule K-2: • Schedule K-2 & K-3 wit...
4. Schedule K-3: • Schedule K-2 & K-3 wit...
Tutorial 2: U.S. Partnership LLC with Foreign DRE and U.S. ECI
1. Intro & Fact Pattern: • Schedule K-2 & K-3 wit...
2. Form 1065 Pages 1 to 5: • Schedule K-2 & K-3 wit...
3. Schedule K-2: • Schedule K-2 & K-3 wit...
4. Schedule K-3: • Schedule K-2 & K-3 wit...
Tutorial 3: U.S. Investment Fund LP with U.S. FDAP Income
1. Intro & Fact Pattern: • Schedule K-2 and K-3 I...
2. Form 1065 Pages 1 to 5: • Schedule K-2 and K-3 I...
3. Schedule K-2: • Schedule K-2 and K-3 I...
4. Schedule K-3: • Schedule K-2 and K-3 I...
For a larger database of tutorials, please visit our website and search for your question:
knottlearning....
DISCLAIMER: The information provided in this video may contain information about tax, financial, and legal topics. Such materials are for informational purposes only and may not reflect the most current developments. These informational materials are not intended and should not be taken as tax, financial, or legal advice. You should contact an advisor to discuss your specific facts and circumstances. Self-help services may not be permitted in all states or jurisdictions. The use of these materials does not create an attorney-client or confidential relationship. This video does not include information about every topic or issue related to these informational materials.
#ScheduleK2 #ScheduleK3 #Form1065 #Form1116 #Form1118

[@raindropsofhope1]

Excellent!

[@cobalt01972]

Well Done!! This is the best video series I have seen on this topic.

[@leoberg7920]

Good job taking this on man!