• * Clarify when each part of the schedule is applicable;
• * Clarify that the preparer must complete only applicable parts of the Schedules K-2 and K-3; and
• * Provide instructions for requested new separate schedules regarding determination of the section 250 deduction and the allocation and apportionment of expenses
  
  

The redesigned forms and instructions are meant to provide useful guidance to partnerships, S corporations and U.S persons that are required to file Form 8865 with respect to controlled foreign partnerships on how to provide international tax information. The updated forms apply to any persons required to file Form 1065, 1120-S or 8865, but only if the entity for which the form is being filed has items of international tax relevance (generally foreign activities or foreign partners).