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Returning Member
posted Mar 16, 2023 1:37:50 PM

What is 199A income when the 1065-K1 line 20 has code Z, while the attached statement does not have Section 199A dividends?

I used TurboTax business for my LLC and generated a k1 form. The line 20 of the K1 has a code Z, however, in the attached statement A, there is a blank under Section 199A dividends  without a value.  When I entered this K1 into TurboTax premier for my personal tax, there was an error: Section 199A Dividends requires a value. However, I tried a few times using TurboTax business, but couldn't get a different K1. I 'm confused, was TurboTax business created a wrong K1 or the TurboTax Premier interpreted the K1 incorrectly? How can I get rid of this error? Thanks!

0 3 497
3 Replies
Level 15
Mar 16, 2023 1:48:36 PM

199a may come from any income loss reported on lines 1 through 3 of the k-1

Returning Member
Mar 17, 2023 11:45:57 AM

Thanks for the reply, however, it doesn't work. This LLC is a rental company, and all income is listed in line 2. After I entered the number from K1-line 2 into the line 20, the "Z" is still in red and the pink error still exists. I can't pass the check error step!

Returning Member
Mar 17, 2023 12:05:26 PM

und the problem! This number should be manually entered into K1 section D, as a rental income. After that, the problem is resolved, and 20% of the rental income is deducted as QBI from the total taxable income! No more error message.