Schedule K-3 questions and answers to recently released instructions

New compliance requirement calls for digital solutions

Dec 05, 2022
Professional services PartnerSight Private equity Real estate Real estate funds International tax
Business tax Architecture & engineering Law firms Accounting & consulting

Schedule K-3 took the pass-through world by storm this past filing season. Together with Schedule K-2, the changes to Forms 1065, 1120-S and 8865 represented a significant expansion in the amount of U.S. international tax information required to be reported on partnership and S corporation tax returns. All pass-through entities with items of international tax relevance were required to file a Schedule K-3. While K-3 instructions have been provided, many professionals are still seeking clarity.

Brian Moreira, a senior manager at RSM who focuses on the financial services industry, discussed the Schedule K-3 requirement, the challenges that resulted and how technology could minimize them.

RSM contributors

  • Brian Moreira