What is Schedule K-1?
Definition A Schedule K-1 reports an owner's share of income, deductions, credits, and other items from a pass-through entity such as a partnership, S corporation, or estate or trust. The recipient uses it to report those amounts on their own tax return. Different versions exist for partnerships (1065), S corporations (1120-S), and estates and trusts (1041).
K-1s are a frequent source of filing delays and errors, since owners often cannot finish their personal returns until every entity has issued accurate ones.