Filing taxes with incomplete documents

[donheff]

DW is a retired partner at a law firm. Her retired pay has been a PITA for years but finally got simple last year when she was switched from K1 income to 1099R retirement pay. This year her firm merged and the new firm is handling tax and payroll. They believe the proper way to report the retired pay is on a K1. coded in such a manner that it will not be considered employment income. DW asked whether her K1 would come late (usually in early April) as they always did or whether they could send it early since her compensation is fixed, not tied to firm performance.

The answer is that the K1 won't come until mid-summer because of the complexities of the merger. They hope to send a draft K1 in late March to help partners file for extensions.

DW's compensation is straightforward. It is a specific dollar amount, all taxable at the Federal and DC levels. So the draft K1 should be identical to the final K1. The question is whether we can simply file the taxes as final using the draft data or do we have to file for an extension and wait for the final form?

 

[cathy63]

Do you do your own tax returns? If you do, then you can file whenever you want as long as you know the employer's EIN, which may be different than last year's after the merger. You just have to be aware that if the numbers do change then you may have to do an amendment later on.

If you don't do your own tax returns, then whoever files for you may refuse to do it without the final K-1. Technically they are only required to see W-2, W-2G and 1099-R, but I think most e-filers will want to see all the forms they're reporting. Here's the IRS statement: https://www.irs.gov/e-file-provider...s-prior-to-receiving-forms-w-2-w-2g-or-1099-r

 

[ncbill]

Since they're switching back to reporting via a K-1 instead of a 1099 I'd file an extension & wait for the final document.