Don't know. Not going to spend time looking it up. As I mentioned early on, IRS has three years to audit. File the IRS form on Inconsistent treatment and be done with this.
Make sure you properly report your capital losses and carry them forward. Because they are §1231 losses they can offset ordinary income, which is better than a normal cap loss use of only $3,000 if married.
Sorry you got into this. That is the problem with Syndications, you have no control over the Syndicator, who may suddenly need cash for some other mistake he needs, and he sets out to create mischief.
if you have cap gains in 2024, or in the coming years, you might want to consider simply "abandoning" your interest in the LLC, which allows you to take the loss in the year you choose..
For example, if you have cap gains of $50,000 in 2024, you might want to "abandon" a some or all of your Membership interests, which give rise to a loss which will absorb the gain. Or abandon all of it in 2024 if it's really dead, and carry the losses forward.
Hope that helps.
This is wonky, but as you are discovering, a lot of this stuff is wonky:
https://www.thetaxadviser.com/issues/2016/feb/taxation-of-wo...
