Instructions for Form 1065 - Introductory Material

Future Developments

For the latest information about developments related to Form 1065 and its instructions, such as legislation enacted after they were published, go to

What's New

  • Information reporting requirements for health insurance offers and coverage. Under the Affordable Care Act, employers that offer (or fail to offer) and others that provide minimum essential coverage to individuals are required under sections 6055 and 6056 to provide certain information to the IRS and to the individuals. The information is required for calendar years beginning after December 31, 2014, but may voluntarily be filed with the IRS and provided to individuals for 2014. For more information, see the final regulations under sections 6055 and 6056. Also, for information related to the Affordable Care Act, visit

  • Schedule M-3. For tax years ending December 31, 2014, and later, Form 1065 filers that (a) are required to file Schedule M-3 (Form 1065) and have less than $50 million total assets at the end of the tax year or (b) are not required to file Schedule M-3 (Form 1065) and voluntarily file Schedule M-3 (Form 1065), must either complete Schedule M-3 (Form 1065) entirely or complete Form 1065, Schedule M-1 instead of completing Parts II and III of Schedule M-3 (Form 1065). These filers are not required to file Schedule C (Form 1065) nor Form 8916-A. If these filers choose to complete Form 1065, Schedule M-1 instead of completing Parts II and III of Schedule M-3 (Form 1065), line 1 of Form 1065, Schedule M-1 must equal line 11 of Part I of Schedule M-3 (Form 1065). See Item J. Schedule C and Schedule M-3.

  • Online payment agreement. You may be able to apply for an installment agreement online if you have a balance due when you file your return. For more information, see What if you cannot pay in full?.

  • Activity-based reporting. The instructions have been clarified for activity-based reporting. See Passive Activity Reporting Requirements and Schedules K and K-1. Partners' Distributive Share Items.

  • Deduction and capitalization of expenditures related to tangible property. Final regulations under sections 162(a) and 263(a) provide guidance for taxpayers that acquire, produce, or improve tangible property. The final regulations clarify and expand the standards of previous regulations under sections 162(a) and 263(a). The regulations generally apply to tax years beginning after 2013. However, certain provisions may retroactively be applied to tax years beginning after 2011. See TD 9636, 2013-43 I.R.B. 331, at


  • Schedule K-1 (Form 1065). New code Y has been added to box 20 of Schedule K-1. Code Y is used to report information related to the net investment income tax. Former Code Y (Other information) is now code Z.

  • Regulations section 1.1411-10(g) election. The partnership can elect to include section 951 inclusions and section 1293 inclusions in net investment income for purposes of section 1411 in the same year as the amounts are included in income for chapter 1 purposes. See Regulations section 1.1411-10(g) under Elections Made by the Partnership for more information.

Photographs of Missing Children

The Internal Revenue Service is a proud partner with the National Center for Missing and Exploited Children. Photographs of missing children selected by the Center may appear in instructions on pages that would otherwise be blank. You can help bring these children home by looking at the photographs and calling 1-800-THE-LOST (1-800-843-5678) if you recognize a child.

Unresolved Tax Issues

The Taxpayer Advocate Service (TAS) is your voice at the IRS. TAS's job is to ensure that every taxpayer is treated fairly and that you know and understand your rights. TAS offers free help to guide you through the often-confusing process of resolving tax problems that you haven't been able to solve on your own. Remember, the worst thing you can do is nothing at all.

As a taxpayer, you have rights that the IRS must abide by in its dealings with you. The TAS online tax toolkit at can help you understand these rights.

If you think TAS might be able to help you, call your local advocate, whose number is in your phone book and on our website at You can also call our toll-free number at 1-877-777-4778. If you have access to TTY/TDD equipment, you can call 1-800-829-4059. You can also access IRS through relay services such as the Federal Relay Service at

TAS also handles large-scale or systemic problems that affect many taxpayers. If you know of one of these broad issues, please report it to us through our Systemic Advocacy Management System at

For more information, go to

How To Get Forms and Publications

Internet.   You can access the IRS website at 24 hours a day, 7 days a week to:
  • E-file your return. Find out about commercial tax preparation and e-file services available free to eligible taxpayers;

  • Download forms, including talking tax forms, instructions, and publications;

  • Use the online Internal Revenue Code, regulations, or other official guidance;

  • Get information on starting and operating a small business;

  • Order IRS products online;

  • Research your tax questions online;

  • Search publications online by topic or keyword;

  • View Internal Revenue Bulletins (IRBs) published in the last few years; and

  • Sign up to receive local and national tax news by email.

Tax forms and publications.   The partnership can download or print all of the forms and publications it may need on Otherwise, the partnership can:
  • Go to to place an order and have forms mailed to it, or

  • Call 1-800-829-3676 to order current year forms, instructions, publications and prior year forms and instructions (limited to 5 years).

The partnership should receive its order within 10 business days.

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