ue1
Level 3

QBI or Enterprise for rental properties

In 2020 I used the QBI for multiple rental properties I own (schedule E).

For this year (2021 taxes), I opted to include all my rentals in an enterprise, but apparently it is not allowed in combination with the QBI, so I have to select one or the other.

 

I am not a RE professional but do spend a lot of time managing these properties, and my objective is to be able to deduct rental properties' operating losses from my W-2 income. However, no matter what I choose - QBI or Enterprise, Turbo Tax does not allow me to combine the two and regardless of my choice, I do not get a deduction of operating losses (they become suspended, I believe).

 

Q: What do I need to do in order to be able to deduct those operating losses?