On my Schedule K-1 (1041) Box 14, one of the codes is "I*" and the box says "STMT". Attached statement lists both Non-SSTB and SSTB income. How do I enter this info?

[tagteam · Accepted solution]

If it makes things easier for you, there can be more than one I code in the dropdown list for Line 14. Put the SSTB on one line and non-SSTB on another.

[bonniekgordon]

How did you do that? Turbo tax seems to only let me select "I" as an option. How could i specify SSTB and non-SSTB within their interface?

[tagteam]

You can select "I" on more than one dropdown line.

[DawnC]

If your K-1 shows more than one type of activity, treat each one separately. Enter all business items on one K-1, all real estate rental items on another K-1, and all other rental items on a third K-1.    

Also, if some of the business income is from an SSTB and some is non-SSTB income, you may need to enter a K-1 for each business activity and allocate the items reported on the K-1 between the 2 businesses.  You will only need to divide up the business income on your K-1 if your total taxable income in 2019 is over $160,700 for single filers or $321,400 for joint filers.

The qualified business income deduction amount depends on the taxpayer's total taxable income, which includes wages, interest, capital gains (etc.) in addition to income generated by the business.  Once the taxable income reaches the threshold amount, the type of business also comes into play.

[TominJoCo]

My I* STMT on the K-1 is for REIT income.  The I drop down wants me to enter "Section 199A information" and presents several more screens.  In 2018 I somehow got 'IC' as the code but I can't find anyway to do an entry like this.  Help!

[Freewalkingtree]

I am using TT 2019 Small Bus Version.  I have the same problem.  My spouse is a beneficiary of a small trust.  This year the Schedule K-1 (Form 1041) we received has in Box 14 two codes.

B  24

I* STMT  with no $ amount.  Refer to the additional STMT page.  The first entry on the STMT document Box 14, CODE I - Section 199A REIT Dividend    $59  There is more detail related to foreign tax income breakdown.  All $’s amounts are for less than $401.  

At that point TT wants me to create a QBI Entry which I don’t fully understand why.  These are not other business’s.  Its a Trustee managing financial investments.  Not other business’s like Farms or Rental properties.   TT keep saying I have an Error in final review and wants me to go down this road of declaring the Dividends source from some QBI.   I’m at a loss at how to get by this error.  I’m thinking I shouldn’t submit it without resolving.    Experts out there any suggestions?

In TT 2018 (Deluxe version) there was an option to select IC Section 199A REIT dividends.   Which I used last year.  Worked fine.

[DavidS127]

Note that the IRS changed the trust K-1 codes in 2019.  The code IC used in 2018 for Form 1041 K-1 Section 199A information is now code I (as in India).

It is very important to Continue through the K-1 interview after you have entered your code I in box 14.  There is a screen later in the interview titled "We need some more information about your 199A income or loss".  This screen must be completed in order for your box 14 code I information to be correctly input into TurboTax.  Check the box for your REIT/Section 199A dividends and you will get a box to enter the amount.

Here is a screenshot of the page you need to complete:

Note also that TurboTax updates since 3/10/2020 have resolved some issues related to QBI, including an unnecessary question about reporting the business name and EIN. If you are using a TurboTax Home and Business Download/CD, check for updates to your TurboTax (menu at top, Online>>Check for Updates).

To get back to the K-1 summary screen and find the Schedule K-1 to edit, click the "magnifying glass Search" icon on the top row, enter "k-1" in the search window and press return or enter, and then click on the "Jump to k-1" link to find the K-1 you need to edit.

@TominJoCo

@Freewalkingtree