Schedule K-1 reports Section 199A income in Part III, Box 20. Turbotax review states that I have not entered Section 199A income on Statement A. Where do I enter this?

[KathrynG3]

Try using these steps for this question for Schedule K-1 Box 20 Code Z needing Statement A.

Be sure to answer all the questions, as TurboTax Expert DavidS127 notes regarding inputting details for Box 20 Code Z: Continue through the K-1 interview after you have entered your value for box 20 code Z. 

Enter the code Z when you enter the K-1, but you don't need to enter an amount. 

Continue on, and there is a screen near the end of the interview titled "We need some more information about your 199A income or loss". 

This screen must be completed in order for your box 20 code Z information to be correctly input into TurboTax.

[jgwendt2016Q]

I have TT Deluxe.  I must have missed something or done something wrong regarding input of my 1065 Schedule K-1.  I need help in what I need to do and how.  I got the screen that you mentioned, but don't know what to enter.

I received a 1065 Schedule K1 from an Oil/Gas partnership.  For Box 20, Code Z, Additional Information, it lists Form 8995 or 8895A.  TurboTax never directed me to that form, though it is in the list of forms.  There is also a form “K1P Addl Info 1” showing in the list, but TT didn’t direct me to that either.

In entering the K1 into TurboTax, I checked all the boxes that had entries (10, 11, 14, 17, 20).  Box 20 had code Z and “STMT” rather than a number.  I selected it and left the number entry blank.  I need to do something additional beyond that.  My income is below $326,600, so I checked that box when it came up.  When I got to the Federal tax error check, I got:  "Schedule K-1 Worksheet Partnership Box 20 Code Z was selected, but no Section 199A income was entered on Statement A". 

I'm don’t know what Statement A is and there is nothing the drop-down boxes or forms called that.  Is it Section 199A of Schedule K-1?

The Schedule K-1 p.3 gives this info on Box 20:

Schedule K-1 Section  199A Information, Box 20, Code Z

Description: Depletion

   Ordinary Income (Loss)      $X,XXX

   Section 1231 Gain (Loss)           -XX

I didn’t find any place in the program I could select “Depletion”.

The Schedule K-1 p.4 gives this info:

Schedule K-1 Section  199A Additional Information

The Section 199A amounts to be used in the calculation of Qualified Business Income Deduction on your 1040/1041 return are reported on Line 20 under Code Z.  Please consult your tax advisor regarding the calculation of the Qualified Business Income Deduction, including the possible aggregations and limitations that may apply and the filing of the 1.199A-4(C) (2) (I) Annual Disclosure Statement.

Thank you, John Wendt