Q. For partnerships who e-file, “FOREIGNUS” has been removed as an option in the XML schema for Part II, Item E of the Form 1065, Schedule K-1 and Item C of the Form 1065, Schedule K-3. What can be entered in those schedules in place of FOREIGNUS? (added March 21, 2024) A. Form 1065, Schedule K-1, Part II, Item E requires the partnership to enter the partner’s SSN or TIN. In past years, if a foreign partner did not have an SSN or a TIN because it did not have a U.S. filing or tax obligation, many partnerships entered “FOREIGNUS” in Item E of the Schedule K-1. For partnerships who e-file, “FOREIGNUS” has been removed as an option in the XML schema. With respect to foreign partners who are not required to obtain an SSN or TIN, a partnership should enter 000-00-0000 in Item E if the partner is an individual or 00-0000000 if the partner is an entity. This change in e-file policy at the IRS should not be interpreted by partners, partnerships, and their tax preparers as a policy that partners who were not previously required to obtain an SSN or TIN are now required to do so. The same issue with Item E of the Schedule K-1 is present in the Form 1065 Schedule K-3 Item C. With respect to foreign partners who are not required to obtain an SSN or TIN, a partnership should enter 000-00-0000 in Item C if the partner is an individual or 00-0000000 if the partner is an entity. This change in e-file policy at the IRS should not be interpreted by partners, partnerships, and their tax preparers as a policy that partners who were not previously required to obtain an SSN or TIN are now required to do so.
