October 4, 2021 7:31 PM
For example, suppose I earn $10,000 from a partnership in 2020. Also suppose I had to take out a loan and paid $5,000 in interest in 2020 to purchase the share of the partnership. Form 8995 seems to deduct the $5,000 interest to calculate my qualified business income if I enter the interest as a separate line on Schedule E. But Form 8995 seems to not deduct the $5,000 interest to calculate my qualified business income if I put the $5,000 interest in with other UPE (unreimbursed partnership expenses). Which way is correct?