Receipt of K-1 from a syndication

[Evan Loader]

Just a quick query of the syndication sponsors out there. 2019 will be the first tax year that I have participated as an LP in a syndication(3 properties, 2 separate deals). When do you typically have the K-1 sent out to your investors? Is seeking a filing extension common? All answers would be most helpful. 

[Natalie Kolodij]

I'll flip the other side on this. 

2018 had a TON of tax changes. 

I had a LOT of clients need to file extensions this year due to waiting on K-1s, I even had 1 who JUST received his K-1 2 weeks after the deadline. 

That being said- even in a normal year It's not uncommon that people need to extend. Might as well to be safe. 

Even if they send it out March 15th on the deadline, you get it a week or so later, take a few days getting it to your tax pro, now your tax pro is against the deadline to finish your return. 

If you don't have everything to your tax pro  by April 1st- file an extension any way. Better to have it and not need it, then need it and not have it.