Part V of Schedule K-2 (and Part V of Schedule K-3). Part

V is used to report information the partner needs, along with other information known to the partner, to determine the amount of each distribution from a foreign corporation that’s treated as a dividend or excluded from gross income because the distribution is attributable to previously taxed earnings and profits (PTEP) in the partner’s annual PTEP accounts with respect to the foreign corporation, and the amount of foreign currency gain or loss on the PTEP that the partner is required to recognize under section 986(c). Partners will report the dividends and foreign currency gain or loss on Form 1040 or 1120. If eligible, partners will also use this information to figure and claim a dividends received deduction under section 245A on Form 1120.