IRS Publication 5819 – IRS Form, Instructions, Pubs 2026

IRS Publication 5819 – If you file Form 1040 and report income or losses from partnerships or S corporations on Schedule E, IRS Publication 5819 offers authoritative statistical insights from the IRS Statistics of Income (SOI) Division. Published in June 2023, this official resource analyzes two decades of individual tax return data on pass-through entities.

Business owners, tax professionals, accountants, and researchers use Publication 5819 to track trends in net income (less loss) from these popular business structures. It highlights how partnership and S corporation income contributes to adjusted gross income (AGI) and shows long-term growth patterns.

Download the full PDF here: IRS Publication 5819 (June 2023) (Catalog Number 94136H).

What Is IRS Publication 5819?

Publication 5819, titled Individual Income Tax Return Data, Form 1040, Schedule E, Partnerships and S Corporations Net Income (Less Loss), Tax Years 2000–2020, compiles aggregate statistics from millions of individual income tax returns.

Partnerships and S corporations function as pass-through entities. The entities themselves generally do not pay federal income tax; instead, their profits, losses, and certain other items pass through to owners or shareholders, who report them on their personal Form 1040 returns—specifically in Part II of Schedule E (Supplemental Income and Loss).

The publication focuses on ordinary net income or loss (not long-term capital gains, which go on Schedule D). It nets income from one entity against losses from another on the same return and separates passive vs. nonpassive activities per rules in effect since 1987 (passive losses generally limited to offsetting passive income only).

Key methodology notes from the IRS:

Data come from sampled and edited individual returns processed by the IRS.
Amounts represent the taxpayer’s share of ordinary gain/loss plus certain guaranteed payments or salary in partnerships.
The publication includes graphs showing trends as a percentage of total AGI and yearly percent changes.

Example of Part II of Schedule E (Form 1040), where partnerships and S corporation income or loss is reported (from recent Form 1040 instructions).

Why This Data Matters for Taxpayers and Professionals?

Business owners & investors — Benchmark your pass-through income against national trends.
Tax preparers & CPAs — Understand the scale of Schedule E reporting and common patterns in passive vs. nonpassive activities.
Researchers & policymakers — Analyze the economic role of pass-through entities and the impact of tax law changes (e.g., the 20% Qualified Business Income deduction under Section 199A, effective for tax years after 2017).
Compliance — See how these entities have grown as vehicles for small and mid-sized businesses.

Key Statistics and Highlights from Publication 5819

The publication emphasizes aggregate dollar amounts and percentages of AGI rather than return counts. Here are the main findings:

Partnership Net Income (Less Loss):

2000: $84.7 billion
2020: $217.3 billion
Overall growth (2000–2020): +156.5%
As % of AGI: Ranged from 1.3% (2000) to a peak of 2.3% (2012–2017)
Since 2017: –14.9% decline through 2020

S Corporation Net Income (Less Loss):

2000: $128.2 billion
2020: $490.2 billion
Overall growth (2000–2020): +282.3% (significantly outpacing partnerships)
As % of AGI: Ranged from 2.0% (2000) to 3.9% (every year since 2015)
Since 2017: +15.4% increase through 2020

Comparative Insights:

S corporations showed much stronger long-term growth in reported net income flowing to individuals.
Partnership income as a share of AGI remained more stable but lower than S corps in later years.
The data reflect the increasing popularity of S corporations and LLCs taxed as partnerships for small-business owners seeking pass-through taxation with liability protection.

The publication also includes line graphs:

“Partnership and S Corporation Net Income (Less Loss) as Percentage of Adjusted Gross Income, Tax Years 2000–2020”
“Yearly Percent Change in Partnership and S Corporation Net Income (Less Loss), Tax Years 2000–2020”

These visuals illustrate volatility tied to economic cycles, tax law changes, and business formation trends.

How Schedule E Reporting Works for Partnerships and S Corporations?

On Schedule E, Part II:

List each entity (name, EIN or SSN for partnerships, etc.).
Separate columns for passive and nonpassive income/loss.
Report amounts from Schedule K-1 (Form 1065 for partnerships or Form 1120-S for S corps).
Apply at-risk and basis limitations where applicable.
Carry totals to Form 1040, Schedule 1 (Additional Income and Adjustments to Income).

Publication 5819 aggregates these flows to show the big picture of how much ordinary business income from pass-through entities contributes to the individual tax base.

Trends and Context (2000–2020)

Explosive growth in S corps — Reflects the appeal of S election for closely held businesses (limited to 100 shareholders, one class of stock).
Partnerships remain dominant in certain sectors — Real estate, professional services, and investment partnerships often use this structure.
Post-2017 changes — The Tax Cuts and Jobs Act introduced the QBI deduction, which likely influenced reporting and entity choices, though the publication’s data ends in 2020.
Passive activity rules (since 1987) continue to limit loss deductions for many investors.

Note: As of 2026, this remains the most recent dedicated SOI publication on Schedule E pass-through data through 2020. For newer entity-level statistics, check the IRS SOI pages for:

Partnership statistics (Form 1065)
S corporation statistics (Form 1120-S)

How to Use Publication 5819?

Download and review the free PDF from IRS.gov.
Analyze graphs for historical context when preparing projections or advising clients.
Compare with your data — Tax software often pulls K-1 information automatically; use Pub 5819 for macro-level validation.
Cite in research — Perfect for academic papers, economic analyses, or congressional testimony on pass-through taxation.
Stay updated — Monitor IRS.gov/statistics for new SOI releases.

Important disclaimer: Publication 5819 contains statistical data only — not tax advice or instructions for completing returns. Always consult a qualified tax professional or refer to the latest Form 1040 instructions and Schedule E instructions for your specific situation. Tax laws change, and individual circumstances vary.

Conclusion

IRS Publication 5819 stands as a valuable, transparent window into two decades of pass-through income reporting on U.S. individual tax returns. It underscores the massive economic footprint of partnerships and S corporations, with S corporation net income more than tripling in reported dollars while partnerships grew steadily.

Whether you’re a business owner optimizing your entity structure, a tax advisor spotting trends, or a researcher studying small-business taxation, this publication delivers reliable, IRS-sourced data. Download it today and pair it with the latest Schedule K-1 guidance to stay informed.

Related IRS Resources:

For the most current tax-year data or personalized advice, visit IRS.gov or work with a licensed tax professional. Publication 5819 remains an essential reference for anyone serious about understanding Form 1040 Schedule E pass-through income trends.