Sch K-1, Box 20, Code Z errors for the 2024 Turbotax Home & Biz

Follow these directions to report Section 199A income from your partnership K-1.

 

1. At the screen Enter Box 20 info, you likely need to select code Z Section 199A information.  
2. Click Continue.
3. At the screen We need some information about your 199A income, you will enter the information provided with your K-1.
4. Click the box to the left to open up the entry box on the right.
5. You may be entering:

•   Ordinary business income (loss) from this business,
•   W-2 wages for this business, and
•   UBIA of qualified property for this business.

Enter these values for the qualified business income deduction to be calculated.

I have the same problem and cannot follow these instructions.  "At screen" - what screen?

After you enter Code Z for Box 20 from Schedule K-1 (no amount is needed), continue to the page "We see you have Section 199A income." 

1. Answer the question on this page and the next. 
2. Be sure to check the box for "My Partnership has business income..." and enter an amount in one of the income boxes (ordinary, rental, royalty, other). 
3. Check any other boxes that apply and enter the amounts as needed.

@woolleyr 

I have entered QBI value but still does not accept my return

I spent 2 hours on the phone with TurboTax regarding this issue.  They couldn't make it work either.  I think there is a problem with the software that doesn't recognize an entry associated with Code Z.  They sent a note to the software team.  In the meantime, they advised me to check code ZZ which didn't change the amount I owed and let the software accept my entry and let me file.

For IRS Schedule K-1 (1065), at the screen Enter Box 20 info, select code Z Section 199A information.  A value does not have to be entered.

 

Then click Continue.

 

At the screen We need some information about your 199A income, click the box to the left of the item to be entered.  An entry box will open.  You enter values reported by the issuer of the K-1 on a Statement A.  You may be entering:

 

• Ordinary business income (loss) from this business, and
• UBIA of qualified property for this business.

Enter these values for the qualified business income deduction to be calculated.

 

@ront4 

I can't get past this error. No matter what I enter or if I leave the Box 20 Code Z and Code ZZ empty, it always returns  the error "Box 20 Code Z (or Code ZZ) has been selected but no Section 199A income has been entered on Statement A. I have no income reported on my Statement A. The TT Tax Support library offered no solutions that worked. I had to file an extension while I wait to see if TT can fix this.

If you have statement A for code Z, you will enter code Z on the following screen and enter an amount - it doesn't matter what amount you enter here.   A couple of screens later you will get the 2nd screen in the image below.   On that screen, select the type and enter the details of your Stmt A.    The amount you enter for code z box 20 is ignored - only the amounts on the information about your 1099A income is reported.  

 

@David L G