I am not a sole proprietor or partnership. Why am I getting a Qualified Business Income Deduction?

WKH3 · ‎June 1, 2019

I am an employee with some capital gains. I don't have any rental property.

DanielV01 · ‎June 1, 2019

That's where your 199a deduction is coming from. Box 5 on form 1099-DIV reports REIT (Real Estate Investment Trust) distributions. Although REITS are not considered to be QBI, they can qualify for the Section 199A deduction.

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View solution in original post

DanielV01 · ‎June 1, 2019

Do you have a 1099-DIV with an amount in Box 5?

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WKH3 · ‎June 1, 2019

yes!

WKH3 · ‎June 1, 2019

Thanks for your help!

DanielV01 · ‎June 1, 2019

You're welcome

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DanielV01 · ‎June 1, 2019

That's where your 199a deduction is coming from. Box 5 on form 1099-DIV reports REIT (Real Estate Investment Trust) distributions. Although REITS are not considered to be QBI, they can qualify for the Section 199A deduction.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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I am not a sole proprietor or partnership. Why am I getting a Qualified Business Income Deduction?