Yes. You may report your allocable share of any net losses reported by the Company on your individual tax return (Form 1040 or other applicable tax form). The amount that you are entitled to claim as a deduction on your tax return may be less than the total loss amount reported on your K-1. Limitations that apply to deductions include IRS basis rules, at-risk limitations, and passive loss limitations. Generally, you are not allowed to claim your share of the Company’s loss if it exceeds your adjusted basis in the Company for the applicable tax year. Please consult the IRS or your tax advisor for more information.