Section 199A Income on K-1

[DaveF1006]

To clarify, did you receive any statements with your K1's when these were mailed to you?

@goodbarx

[peterschack]

I've entered all my information from the K-1 that appeared in Statement A, but I'm still getting the "Box 20 Code Z has been selected but no Section 199A income has been entered on statement A".  I could be wrong but it feels like a program glitch - I have entered this info in years past without any trouble.

Here's the part that makes me suspect a glitch: on the page that says "we need some information about your 199A income, I've filled in the numbers relevant to my return: the line about the 1231 gain, and the line about UBIA.  However, when I run error check and get the error .. and then go back to that page, the 1231 gain line has no entry, even though I put one in.

This is the only error keeping me from filing.  Any wisdom would be appreciated!

[algertax2012]

I could not get this resolved until I went back and deleted the whole k-1 and then started it over. And yes, I left the amount field blank for Line 20, code Z.  Then It took me to other questions and I was able to pass the final review.  I don't know how it happened but I went from owing to getting a refund at that point so I e-filed immediately! Lol  I hope it's all good.  fingers crossed

[rhl3]

@sammyoh Had the same issue. Click the "[Your Partnership Name] has business income (loss)" box, and THEN a rental income (loss) box comes up for you to enter in. Super annoying/frustrating way for TurboTax to go about it, especially since it seems like every 199A income option is already present except that one. Took me a lot of trial and error to figure out. Hope this helps!

[yatsevitch]

I contacted the company regarding their K-1 and since the amount for the 20Z was $0.00, a 199A Income was not necessary and therefore not provided. I had to remove that K-1 and re-enter it without the 20Z. Then I was able to file electronically.

[Mike9241]

actually, you don't need to enter any 20Z info on line 20 of the k-1.  it goes nowhere and can create filing problems. the Turbotax k-1 has a separate section where the QBI/199A info is entered. Turbotax presents you with a facsimile k-1. a lot of info it asks for is not needed because it goes nowhere and is not used for anything.  examples: capital account, profit loss capital %, liability info, address  and more.  the reason that it's provided is that some k-1s can be imported and it would create a mess if there was no area to put a number that was imported.

[woodywen]

Thank you! However, it seems to me that your K-1 from Davenport Housing VII, L.P. has only one other business GOOD DOGZ in the 199A statement. In my case, there are more than one businesses in the 199A statement. I can only be able to put in one in TT.

[Mike9241]

this is hard to answer because how to handle 199A reporting is unclear in certain situations where there are multiple activities.

were you provided a supplemental schedule breaking down each activity with instructions on how to report?  it may be that 2 k-1's are needed -one for each activity and then you would be able to report the separate 199A info.  whether you can combine the activities or not would have to be furnished by the partnership.

[Cherylm2]

I have entered the 199A income from the K-1 multiple times and TurboTax continues to reject it.  I contacted the company for the K-1 (Form 1065) and they say there isn't a Schedule A, use what is reflected on the K-1 detail.  They said to contact Turbo Tax for resolution.  I have paid the additional $50 for e-filing two state returns, but TurboTax can't send the returns until this issue is resolved.  If I have to file by mail I need to get a refund for the two state return e-files.

[AliciaP1]

Your K-1 should have had a page included with your Schedule K-1 labeled "Statement A - Section 199A income" or something along those lines.  If not, you need to ask the company that issued the K-1 for "Statement A" and the details of your share of Qualified Business Income.  The K-1 does not accurately reflect the details for QBI alone.  

@Cherylm2 

[LoganLou]

For online turbo tax I found this worked for the error "no income for statement A". Once start to input information for your K-1 you get to the screen where you input your information after checking the boxes you have amounts in. For box 20 change the code to Z and leave the amount blank. After clicking some more sections you will get to the "We need some more information about your 199A income.  Select the first box " blank partnership has business income (loss)" to get more drop-down boxes. In the ordinary business income box input 0. Enter your other information in the drop-down boxes as it states on your 199A statement. For my partnership it was a gain in the section 1231 box.  Once I clicked through everything else in federal review it did not give me the "more information needed on your 199A." This work around appears to clear the "no income for statement A" error. Hope this helps!

[henkinc]

So I did just that twice. I left the K-1 code Z box with no $ entry and the program seemed to have asked me all the right questions since the details for what "should" have been provided in the 199A screen were answered for each of the 5 K-1s (all same type of rental partnerships). The TurboTax program still won't let me e-file because the section 199A information was not provided.  To get to a zero entry in box 20 Z I deleted any dollar entry. Do I have to go back and literally recreate all the K-1 information again in a new filing? I hope to avoid this since it seems it would not work anyway. Help.

[HopeS]

You may need to delete the K-1 and reenter it if all the suggestions provided do not work.

Before re-entering the K-1 try and clear your Cache since information might be trapped.  See the steps below:

How to Clear Cache

Also, review the link below:

Revisit K-1 Box 20z

@henkinc 

[taxquestions44]

I have a question about 199A income.  I am using the Deluxe CD version.

I have a red Z (error) for a K-1 form.  The value there is the $190 from the K-1's 20Z1.  Z2 has a 0 value so there is only 1 entry.  There is no error message but the quick link below sends me to Section C Income and Loss Reported on Schedule E.  Column g income is 0 and column j income is 193.  The $193 comes from box 1, Ordinary business Income, on the K-1.  The two values are not the same and the K-1's boxes 2 and 3 are 0.  I am assuming the error is because the 2 values don't match, right?  How can this be corrected?

[ksb2]

Re: Section 199A Income on K-1

Without seeing the K-1 form and the accompanying notes, it is difficult to understand what is causing your error.  The following is only a guess of what maybe causing your Turbotax error.

Also, there should be an explanation mark (!) next to the K-1 form causing your error message when the form view is opened .

The Turbotax error message is maybe caused by entering all of  the information on a single K-1 form within Turbo Tax.  Separate K-1 forms are required for each  when there are separate amounts shown in boxes 1, 2 &/or 3 of your K-1.  The entry for the 20Z1 should be matched against the K-1 with the $193  income if it is in box 1 of the K-1.  When entering do not fill in an amount against 20Z1, leave it blank.  Clicking on the blank box will open up a separate form where you enter the $193 income amount as income generated by the company or from an outside organization, per the accompanying K-1 form notes (Attachment A).

The  Z2 should probable match up with a separate K-1 form, with $0 in either box 2  or box 3.  

Alternately, do not report the $0 amounts shown in box 2 & 3 and Z2 entry as they do not affect your taxes.

Let me know if this resolves your Turbo Tax error message 

If you want to send me a copy of the K-1 and instructions, I can take a further look at it and try to resolve your error, if the above fix does not work.