Yes, your business expenses get reported on Schedule C and will reduce your Schedule C business income reported on your tax return.
And, yes, the Qualified Business Income (QBI) deduction is automatically calculated by TurboTax behind the scenes utilizing data from your Schedule C PLUS other parts of your tax return. Therefore, because there are several pieces to the QBI deduction calculation, it more than likely will not be a 20% calculation of your business profit on Schedule C.
The deduction calculation for taxable income under the first threshold of $157,500 single or $315,000 joint, is 20% of QBI
(which is your qualified business income less your portion of self-employment
taxes, self-employed health insurance, etc) OR 20% of your
taxable income (except capital gains and dividends), whichever is LESS.
The QBI deduction is reported on line 9 of your 1040 form. See below for more information:
https://ttlc.intuit.com/replies/7019998
