Form 8825 (1065): Limited partnership XYZ holds fractional shares in other LPs. K-1s were received for the underlying LPs (each is for a rental property). After entering the K-1 data on Line 20 of 8825, I do not know where to put the expenses of XYZ LP on the 1065 tax form or 8825 form. The expenses include accounting tax preparation and fees paid on a 1099-misc for administrative/secretarial services in managing distributions and other clerical tasks for XYZ LP. The XYZ LP for which I'm preparing a 1065 does not own or manage any property directly so the expenses are not property management expenses. XYZ LP has the underlying real estate LPs as it's only holdings. The expenses are therefore not covered on the Line 20 entry of 8825 as all that info came directly fro Box 2 from the underlying LP K-1s.
Let me know what info you need and I'll gladly forward specific details. This is a family LP. The four underlying LPs are commercial buildings that my parents owned since the 1970s and are California LPs. The current LP for which I'm trying to do my taxes, was created 2 years ago as an Ohio LP when my mother transferred some of her LP interests to her children. My mother is getting a "management fee" for administrative tasks such as paying the quarterly distributions. That is the main thing I'm trying to figure out how to expense (along with the accounting fees). It was something her lawyer told her she could do.