Page 200 - Large Business IRS Training Guides

Allocation of Deductible BIE and IRC § 163(j)

Excess Items

• After completing Form 8990, a partnership must

determine how the deductible BIE and the IRC

§ 163(j) excess items, are allocated among the

partners.

• Worksheets A & B attached to the Form 8990

instructions contain an 11 step allocation

computation per Prop.Treas. Reg. § 1.163(j)-6(f)(2).

This computation is only necessary when there are

special allocations.

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