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posted Jun 1, 2019 10:17:38 AM

Why is my QBI 75% of my Schedule C net profit and not 100%? I am a home builder/developer LLC

TurboTax is calculating my QBI as 75% pg my net profit from Schedule C. Why isn't it 100%.

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1 Best answer
Level 15
Jun 1, 2019 10:17:39 AM

QBI is the lesser of 20% of your (Sch C income minus half of your Self Employment tax, and minus any self employed health insurance premiums and SEP IRA you might have), or 20% of you taxable income.

1 Replies
Level 15
Jun 1, 2019 10:17:39 AM

QBI is the lesser of 20% of your (Sch C income minus half of your Self Employment tax, and minus any self employed health insurance premiums and SEP IRA you might have), or 20% of you taxable income.