On my K1, box 20, I have code Z, but there's no amount listed -- it says "STMT". Where do I find the info to enter in the amount box?

You should find the amount and codes to enter on a statement attached to your K-1.  The "STMT" is an abbreviation for "statement".

What if there is nothing in the 199A box? Do I just put a 0 for line 20?

If there is not an amount for box 20 you do not need to put a $0 just leave the box blank.

@raquelheckaman

I have done that and it still keeps giving me the same error message. Do I submit it anyway knowing that there is an error with the system but the form is correct?

No, you should not submit your return with an error message. 

If there is not an amount reported in box 20 on your K-1 or any attached statements, then you should delete any entry you have in TurboTax for box 20. Be sure to remove the "Code Z" and any zeros you have entered. Then select Review from the menu on the left to make sure there are no errors on your return.

@raquelheckaman

But what amount do I put in Box 20 when it says STMT?  I understand that all the values in the statement are placed when it asks for other 199A information, but what ONE value do I put in Box 20??

You enter nothing in box 20 if the statement has nothing to enter. 

I have values for line 20 indicated by STMT and there valuesar e found  in that statement, how do I get the values transfer to the Turbo Tax program and appear in the federal form so an error and the tax  submission is accepted - thanks for your help....Arnie

Line 20 of the K-1 for a partnership deals with income for the 199A (Qualified Business Income) deduction.  To enter this information, please follow these steps:

1. When entering the K-1, on the screen, Check Boxes that have an Amount, be sure to check Box 20. [Screenshot #1]
2. On the screen, Enter Box 20 Info, select Code Z and enter the dollar amount reported.
3. On the screen, We see you have Section 199A income, mark the appropriate radio button and click Continue.   [Screenshot #2]
4. On the next screen, We need some information about your 199A income, mark the appropriate boxes and enter the information in the fields that appear.  This information should appear in the STMT attached to your K-1.]   [Screenshot #3]
5. Enter any uncommon adjustments on the next screen and click Continue

Screenshot #1

Screenshot #2

Screenshot #3

@bennie829

Folks - I still can get the error "you selected Box 20 Code Z but no Section 199A income has been entered in statement. Note code 20 A is a zero. and code 20 Z1 (Section 199PTP) is a negative number. I was successful in entering 20AB, 20AE, 20AF and 20 AH1,2, and 3. Please, how can I get this corrected to move on - note this error came up when I was checking the federal form....thanks...Arnie

Here what I did with code 20 Z after getting an error I added in as AH other information "Estimated Tax code code99046" and "Cumulative Passive Losses code 99047" and the smart check did not issue an error message. I assume we are a go onto the state form. I hope this helps and these difficulties with K-1 forms area good reason to avoid K-1

Thanks....Arnie

In Field 20, code Z, in TurboTax there is only one field available to fill in. But the K1 provides 3 numbers: rental income/loss, W2 wages, and unadjusted basis of assets. What numbers do I fill in where?

Follow these directions to report 199A income from your partnership K-1.

• At the screen Enter Box 20 info, you likely need to select code Z Section 199A information.  I have seen comments that the Amount does not have to be entered but I enter the Box 1 or Box 2 number if a value is not provided.
• Click Continue.
• At the screen We need some information about your 199A income, you will likely need to enter the following information:
• Rental  income (loss) from this business,
• W-2 wages for this business, and
• UBI of qualified property for this business.

Enter these values for the qualified business income deduction to be calculated.

I have a 'Z" in box 20 on my K-1. On Statement A which comes with the K-1 it indicates that the dividend income for form 199A is $1. I entered the $1 into TurboTax and it said it was an error and won't allow me to file the return electronically. Help ... I don't know how to proceed.

I have a 'Z" in box 20 on my K-1. On Statement A which comes with the K-1 it indicates that the dividend income for form 199A is $1. I entered the $1 into TurboTax and it said it was an error and won't allow me to file the return electronically. Help ... I don't know how to proceed.

If the income reported on the schedule K-1 is minimal, as you indicate, the qualified business income (QBI) will not have a significant impact on your tax return so you could leave the box 20 entry off your return. You can try deleting the line 20 entries and deleting the check mark for box 20 in the early stages of the K-1 entry. If that doesn't work, you can delete the K-1 entry and re-enter it and skip the box 20 entries. It may just prevent your tax from being reduced by a minimal amount.

@goodhobbit

James, you seem to know about this section. Below is my K-1 Box 20 Code U & Z statement. Can you advise me as to what numbers I enter into the TT section for each of these ? Thx,  Wm.

It looks like you are reporting a Schedule K-1 for Form 1065.

At the screen Enter Box 20 Info select Z-Section 199A Information.  Make no entry.

At the screen Enter Box 20 Info select U-Section 743(b) basis adjustment.  Per the IRS instructions, enter total remaining basis.

Partner's Instructions for Schedule K-1 (Form 1065) states:

Section 743(b) adjustment.

New code U under line 20 is used to report the total remaining section 743(b) adjustment for applicable partners. This was reported in previous years on line 20, code AH.

At the screen We need some information about your 199A income, select and report business income/loss, other deductions, W-2 wages and UBIA of qualified property.

Yes, it is a Form 1065 K-1.

Sect 743(B)   So for Code U I will add 5288 + 1342 = 6630 & enter that.

Sect 199A.    For Code Z I will leave it blank.

Thanks for the input, most helpful.  Wm.