Investors & landlords
For Publicly Traded Partnership (PTP) QBI, you need to make certain selections in TurboTax, and those selection depend on whether the partnership generating your K-1 is itself a PTP, or if instead it merely got PTP income (loss) as a passthrough from another PTP.
If your K-1 is from partnership that is itself a PTP, you should designate it as such during the K-1 entry. Don't enter an amount on the screen where you enter the code Z, just Continue after you enter the code Z. Then, when you get to the Section 199A "We need some more information about your 199A income" screen, select the box next to the type of income that partnership generated (ordinary, rental, other, royalty, other as reported in box 1, 2, 3, or 7). In the box that opens up, enter your PTP loss amount as a negative number.
If your K-1 is from a partnership that is not a PTP, but is passing through PTP loss, when you get to the screen "We see you have Section 199A income", you make the selection "The income comes from another business" and then under that "The other business is a publicly traded partnership". When you do that, instructions for what you need to do will pop up on that screen. I show a screenshot below, but basically you will need to subtract the PTP passthrough loss from that K-1, and enter a new, separate, K-1 to report only the PTP passthrough loss.
Here is the screenshot of how you designate the K-1 you received (or the new, separate K-1 you must enter, if applicable):
And here is the screenshot of how to enter that your PTP loss was a passthrough from another PTP:
