Qualified Business Income Deduction. For multiple rental properties, am I required to take the deduction, or is it my choice based upon the tax consequences?

nickpilot · ‎April 5, 2020

One rental is profitable, one is not. It appears the deduction is best for the profitable rental, and worse for the unprofitable rental. Can I claim the deduction for the profitable one, but not for the unprofitable one?

MaryK4 · ‎April 5, 2020

Probably not, you must net qualified business income. Rental properties you manage yourself qualify for the QBI but it would not be likely that the IRS would allow you to pick and choose- it is best to use all for the deduction or none.

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MaryK4 · ‎April 5, 2020

Probably not, you must net qualified business income. Rental properties you manage yourself qualify for the QBI but it would not be likely that the IRS would allow you to pick and choose- it is best to use all for the deduction or none.

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**Mark the post that answers your question by clicking on "Mark as Best Answer"

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Qualified Business Income Deduction. For multiple rental properties, am I required to take the deduction, or is it my choice based upon the tax consequences?