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Returning Member
posted Sep 22, 2019 2:49:47 PM

I am confused about the turbotax question "confirm your professional status' are you asking if I am a QBT? if I check either or both does that disqualify me for capital gain on my rental homes?

I cant remember how I answered the question in the past returns about "confirm your profession".  If I check that I spend over 50% of my time in real estate and 750 hours a year, will that change my status on my return to qualified trade or business?

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1 Replies
Level 15
Sep 22, 2019 3:25:12 PM

@Eshka wrote:

I cant remember how I answered the question in the past returns about "confirm your profession".  If I check that I spend over 50% of my time in real estate and 750 hours a year, will that change my status on my return to qualified trade or business?

In TurboTax, the QBI status will only change if your response is "Yes" to the question, "Is this Qualified Business Income?" (see screenshot).

 

Otherwise, you can actually qualify as a real estate professional who materially participates in the rentals but TurboTax will not treat net income as QBI.