Will my K-1 tax forms influence my I-829 petition?

I would need more information to advise. What other proof do you have for investment in the project, creation of ten new jobs, etc.

There are many reasons why the K1 would show a decrease in the capital account (a return of capital investment is just one of them). Your attorney will know what to do/what questions to ask.

If your capital account shown on K-1 is less than the amount of investment because of the business loss incurred by the company, this is acceptable. You cannot get your investment back until the expiration of your conditional residency.

The I-829 petition process focuses on whether the investment capital was sustained at risk and whether the required jobs were created, rather than the specific financial returns or income reported on tax forms like the K-1. Key considerations for the I-829 petition include:

• Sustaining Capital at Risk: You must demonstrate that the required funds were placed at risk throughout your conditional permanent residency period. The fact that your K-1 tax forms show less than the $500,000 investment
amount does not automatically indicate a problem, as long as the capital was maintained at risk in the business.

• Job Creation: You need to provide evidence that the investment led to the creation of at least 10 full-time jobs for qualifying employees. This is a critical requirement for the approval of the I-829 petition.

• Material Changes: USCIS recognizes that business plans can change, and as long as the capital was further deployed in a manner that satisfies the requirement to sustain the capital at risk, the I-829 petition may still be
approved.

If you were approved, then it should not be a problem so long as the money shows the amount was invested $500,000.