Turbotax Business - Rental Income vs. Self Employment Income

[Ozwald]

I'm confused.  I have rental income from a number of rentals via an LLC (multi-member).  Last year that came over to my personal taxes via K-1 as rental income/loss.

This year, Turbotax business did something different on my K-1's.  We have rental income/loss but also in space 14 on the K-1 I have self-employment income.  

This income is completely passive, I'm not a real estate professional.  I can't seem to figure out what changes and if I did something wrong last year, or this year that made the change.  I've combed through the guide and forms with very understanding as to why the rental income is being treated as SE income.

I would appreciate any insights or advice y'all could provide.

[tagteam · Accepted solution]

The income would only wind up on Line 14 of your K-1s if you entered it as general business income (i.e., subject to self-employment tax).

Make sure you are entering the income in the Rentals section of the program (and you need to indicate you have rental real estate in the Business Info section).

[Ozwald]

Thank you for your reply - it was in the Federal Taxes > Other > Self-Employment Earning Worksheet.  I made a mistake associating the rental income as "income based on services provided."  

Ugh - thanks again!