I own two rental properties in an LLC. I have listed both under the "Rents and Royalties" section on Turbo Tax. I show a loss for one rental property and a gain for the other. I do not take the QBI Safe Harbor but do feel like the income is qualified. When I select "Yes" on the "Is this Qualified Business Income" question for rental property #1, my tax liability decreases. When I answer the same question the same way for rental property #2, my tax liability increases back to what it was originally essentially making zero difference on my tax return. Any idea why this is? Should I claim QBI for one rental property and not the other?
