QBI deduction not being calculated

[TaxMan47]

I receive a Schedule K-1 and a W-2 from my company.

My QBI deduction is not being calculated at all. Line 10 on my 1040 is blank.

[MarilynG1]

Do you have a Schedule C or Schedule E in your return?  Have you entered all your income and deductions?

The deduction amount depends on the taxpayer's total taxable income, which includes wages, interest, capital gains (etc.) in addition to income generated by the business.

Once the taxable income reaches or exceeds $157,500 ($315,000 if filing jointly), the type of business also comes into play.

There is a QBI Worksheet in your return that shows the calculations for the deduction.

Click this link for more info on the QBI Deduction. 

[TaxMan47]

Yes, QBI also applies to Schedule K-1. This works fine in H&R Block but Turbo Tax does not seem to want to calculate this.

Is this a limitation of the online software? 

[TaxMan47]

I'm not able to locate Form 8995 in the online version to see what calculations it's doing. I understand what QBI is and I've done this deduction in prior years in H&R Block software. I'm trying to accomplish the same thing in Turbo Tax.

[MarilynG1]

If you are using the online version of TurboTax, you will need to pay for your return to have access to View/Print/Download forms and worksheets. 

[TaxMan47]

Yes, I paid already.

When I view my 1040 on Line 10 that value is blank for my qualified income tax deduction. It's not entering any value there where it should.

[MarilynG1]

Look at the QBI Income Deduction Summary (screenshot).

[TaxMan47]

How do I access this form in the online version?

[AmyC]

Online, you can go to:

1. Search box
2. Type in exactly qbi
3. Select jump to qbi

There is also a QBI status button you can click instead of the jump to button.

[TaxMan47]

Thank you.

I was able to get to this screen. I select "S-Corporation (Schedule K-1 1120S)" and the next screen shows my Schedule K-1. I hit done.

Now when I go to print a summary of my taxes it still has a blank field on Line 10 of my 1040. It's not putting any amount for my QBI deduction.

[DavidS127 · Accepted solution]

Make sure you have entered all the information on the Statement or STMT that came with the K-1 you received.  That Statement or STMT will be associated with box 17 code V, and should be designated as "Section 199A" information.

To enter your box 17 code V information properly, Continue through the K-1 interview after you have entered your code V for box 17.  You don't actually have to enter an amount on that box 17 screen, it doesn't "feed" any calculation. There is a screen near the end of the interview titled "We need some more information about your 199A income or loss".  This screen must be completed in order for your box 17 code V information to be correctly input into TurboTax.

Here is a screenshot of the screen you are looking for:

 And, depending on what is reported on your K-1 statement, you may need the next screen as well:

To get back to the K-1 summary screen and find the Schedule K-1 to edit, click the "magnifying glass Search" icon on the top row, enter "k-1" in the search window and press return or enter, and then click on the "Jump to k-1" link to find the K-1 you need to edit.