When you look at Form 8995, the worksheet for calculating the Section 199A deduction, on line 10 it shows I have an eligible deduction of $1254. However, then you have to take the lesser of line 10 and line 11 (taxable income). Line 11 is showing zero, so it's negating my QBID.
Looking at my 1040, I can see that the worksheet is getting that information from line 15 of my 1040, "Taxable Income."
But how is my taxable income zero, yet I still owe almost $1000? Shouldn't I be able to deduct the 20% for the QBID from whatever taxable amount I am paying tax on?
