I have a couple of questions about QBI in a master limited partnership.
One of my MLPs had positive ordinary business income last year, rather unusual for a midstream MLP. This freed up some prior year accumulated passive losses. What has me confused is the fact that, according to Turbotax Premier, the amounts freed up are different with respect to “regular tax” vs. 199A QBI carryovers. I don’t understand why this should be. Specifically, the suspended loss carryovers that Turbotax freed up for QBI purposes amounted to $740, which just so happens to be double the $370 of ordinary business income for 2023. What’s going on here? I must not understand how this calculation works.
For reference, below are the relevant portions of my 2023 K-1.
Secondly, notice that the QBI amount in Box 20Z does not equal the ordinary business income plus 1231 income. I thought this was the literal definition of QBI, so I don't understand the discrepancy here, and hence what to even report as QBI in the Turbotax interview for this MLP this year.
(PII Removed)
