DaveF1006
Expert Alumni

Get your taxes done using TurboTax

Yes, perhaps I wasn't clear in my previous post.  You will not enter Box 20Z information in your 1065 partnership return from a k-1 issued to the partnership. Instead, the 20Z is to be distributed to each partner,s K1 by disclosing their share of the QBI income in each partner's supplemental statement.  Please read this IRS link and read the section entitled How do S corporations and partnerships handle the deduction.

 

You may not be issuing k-1's but this is the only option to claim the Qualified Business income Deduction. You would not report QBI directly into your 1065. 

 

@KMW3 

 

 

 

 

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