Thank you Annette. I think I came to the same conclusion last night after doing some digging. I didn't even realized that I chosen QBI during the TT interview process, I think TT chose that for me. For those that don't fully understand my situation, here is a short explanation that might help others. My income was over $150K so I couldn't take any of the passive loses (expenses) from the rental properties so it didn't help reduce my tax liability. But it did the reverse instead. For any additional expense I put in, it reduced my profit on the property and thus reduce my 20% QBI deduction. In other words, the more I made from the property, the bigger the deduction thus reducing my tax liability. This sounds counter intuitive, but this is what I think folks that have higher earned income (ie. W2) with rental properties are facing.
