The IRS will not require the reporting of tax-basis capital accounts on Schedule K-1 forms for 2019, the agency announced in Notice 2019-66 (PDF) Monday, Dec. 9.
The proposed change, included in the draft of 2019 forms released earlier this fall, drew many comments and criticisms. The IRS will defer the requirement until 2020.
Notice 2019-66 also addresses several other tax items, including the 2019 requirement for reporting a partner’s share of net unrecognized Section 704(c) gain or loss.