K-1 Deadline for Prop firms

[esc_trader]

As I understand it, the partnership has until the due date for the partnership's tax returns to get K-1's to the traders. So, including possible extensions, traders may not get K-1s until after April 15th (if an extension was filed by the firm for their own taxes).

Is this just procrastination on the firm's part, since I hear not many traders got their K-1s early.

 

[RichSohn]

Firms need every last second to cook the books.

Quote from esc_trader:

As I understand it, the partnership has until the due date for the partnership's tax returns to get K-1's to the traders. So, including possible extensions, traders may not get K-1s until after April 15th (if an extension was filed by the firm for their own taxes).

Is this just procrastination on the firm's part, since I hear not many traders got their K-1s early.

 

[metooxx]

Sending a K1 is a little harder than a 1099 ...

 

[esc_trader]

How so? Your partership income for the year is apparent three trading days after Jan 1st.

 

[metooxx]

Try figuring it out that fast, that K1 has all the companies operations tied to it ...

 

[esc_trader]

I thought it was to give time for the prop firm to count up all their millions!

 

[metooxx]

lot of work ...