packetboy
New Member

Get your taxes done using TurboTax

I had the same issue..your delete K1 and reenter isn't what is really required, but doing so helped me understand the actual problem.

 

 

(My 1120 for 2019 isn't even started yet, so my objective was creating an *estimate* K1 and figured I'd update it later after my accountant finishes my biz return), so:

 

* I initially entered my K1, checked that I had boxes 16 and 17 (key to QBI calculations).  
* I did NOT enter any of the codes for box 17..just clicked continue (I first just wanted to get a rough idea on how my K1 income was going to affect my overall tax liability).

* I then just clicked through the rest of the K1 to the end.  As expected it didn't ask me any of the QBI questions (since I didn't enter any values in box 17)
* My plan was to then review my prior year K1, and figure out from it how to estimate my box V,W and X

* A few minutes later I select Edit for the K1, fill estimated values for V,W and X

* Confusingly, then I get a QBI dialog that gives you a check box for all K1 items (e.g. income, sect179, W2 wages, etc...)

* Initially, I checked ordinary business income and just reentered the same value I had already entered for Box 1 of the K1

* I didn't really understand what the other checkboxes were for as they seemed to be redundant

* I continue through the rest of the K1 questions and STILL no QBI credit

* I search here and find the delete and re-enter suggestion

* I make sure I enter values for V,W,X which then triggers the QBI dialog

* This time I realize Turbotax is insisting that you check and re-enter values for 'ordinary business income' *AND* 'w2 wages'....the later was what I was missing the first go around  (which is obviously key as if you don't pay any wages you don't qualify for QBI)

* This time, after step through the rest of the dialogs I can see my refund go up substantially as the QBI kicked in

 

At no point does Turbotax warn you that your answers to the dialogs are conflicting (e.g. you entered wages on K1 box W) yet when the QBI dialog pops up you fail to even check the 'I paid W2 pages dialog and enter the same amount there).   Absolutely no error is reported when you run 'final check' either.

 

This is the most ridiculous Turbotax bug ever.  Had I not been paying attention this would resulted in an approx ~$200K tax overpayment.  I cringe to think if the IRS would have noticed either.  Seriously!?