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SSTB percentage

on the K-1 entry of a sold crowdfunding real estate investment I had and just received a final k-1, turbotax asks about SSTB %.  I do not understand, is this the crowdfunding company that I invested in or is this my SSTB% and does that % include my investments or just my W2 and side gig 1099's

 

 

What is SSTB operating percentage and how do you calculate it?
This is the percentage of your operating income that is attributable to SSTB activity. If a business was entirely an SSTB in the year in question, this will be 100%. In rare cases, a business that is not an SSTB will have income from a co-owned SSTB that requires this business to be treated in part as an SSTB.

To calculate this: take the total of your operational income from co-owned SSTB(s) and divide it by the total of all your operating income. Multiply this value by 100.

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1 Reply
ThomasM125
Employee Tax Expert

SSTB percentage

The specified service trade business (SSTB) is referring to the partnership that you received the K-1 schedule for. The question is how much of the income or loss reported is from an SSTB. If the partnership was an SSTB it would likely be 100%, otherwise the partnership may have an interest in another business so that a portion of its income or loss would be considered SSTB.

 

 

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