MeF filing error with Form 1065, Schedule K-1, line 20, code ZZ


Q. I receive an error in Form 1065, Schedule K-1, Line 20, code ZZ, when I try to electronically file the partnership return. How can I fix the error? (added March 21, 2024)

A. The Partners Instructions to Schedule K-1 of Form 1065 for 2023 provide that Code ZZ “Other” in Box 20 contains “Any other information you may need to file your return not shown elsewhere on Schedule K-1.” If a partner receives a 2023 Schedule K-1 from a partnership with information in Code ZZ of Box 20 the partner should follow the Partner’s Schedule K-1 instructions in reporting this information on their return. There was a programming error impacting e-filers of Form 1065 for 2023 that blocked e-filed partnership returns from using Code ZZ. The IRS encourages e-filers to extend the filing of their Form 1065 returns and defer until June 16, 2024, when we estimate that the Code ZZ issue will be fixed and Code ZZ can be properly e-filed in Box 20 of Schedules K and K-1.