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Self employed
No, there's no portion of Form 8995 that would be included as income in Part I of Form 1040 (Schedule 1), Additional Income and Adjustments to Income.
Line 3 is part of a computation that determines the qualified business income deduction.
Line 16 calculates a qualified business (loss) carryforward. According to Line 16 in the Instructions for Form 8995:
This is the amount to be carried forward to the next year. This amount will offset QBI in later tax years regardless of whether the trade(s) or business(es) that generated the loss is still in existence. This carryforward doesn’t affect the deductibility of any loss for purposes of any other provisions of the Code.
Neither line flows through to Schedule 1.
March 29, 2023
12:34 PM