I also have an Sub S consulting firm with all the income being qualified business income. I started the business last year and it had a small loss. I didn't purchase TT business because it's not that complicated of a return. This year I made a profit(< $60,000) and I know to pay myself some wages. A majority of my expenses are travel, postage and supplies so the return is easy to prepare income and expense wise. I did make estimated payments on the income. I have no other crazy adjustments for the QBI like real estate.
My question revolves around the preparation of the K-1 for myself as the only shareholder. I will report line 1 ordinary income from line 21 of the 1120S. My question is: how do I determine what code to use on line 17? It seems according to the IRS publication that code V is a catch all for the qbi at line 1 and I should enter 20% of that number in line 17.
thanks,
pm