Why is turbo tax giving me the qualified business credit? I am not self employed and work for a private company? Where do I see what triggered the credit?

[JohnW222]

If you mean the Qualified Business Income deduction, there are a number of different income types that can generate the deduction.

For the purposes of the deduction, QBI is defined as net business income, excluding:

• Income generated outside the United States
• Investment income
• Form W-2 compensation paid to an S corporation owner
• Guaranteed payments to a partner
• Income from REITs, publicly traded partnerships, and qualified cooperatives (these entities may qualify for a 20% deduction under a different set of rules, the explanation of which is beyond the scope of this FAQ).

Please see the IRS’s Qualified Business Income Deduction page and TurboTax’s Help articles“What is the Qualified Business Income (QBI) deduction?” and "Do I qualify for the qualified business income deduction?" for more information.

[jkbulldog12]

I am having a similar situation where I cannot stop TurboTax from giving me the qualified business credit.  I do not think I qualify for it, and I just want to get rid of it.  Manually deleting the form does not help.  Thanks! 

[ColeenD3 · Accepted solution]

It is probably from a 1099-Div, Box 5. Section 1099A dividends are entered there.

[jkbulldog12]

Thank you so much - really appreciate it. 

[ColeenD3]

You're welcome. It is generally due to a REIT.

[TaxChickNYC]

It was explained to me that if I received dividends there might be a real-estate related dividend that triggered the credit.  Sure enough, I checked the investments providing a dividend and one of them is a real estate investment trust (REIT).  Thus the credit.

[1rn]

I have line 5 of 1099-div with an amount giving me a qualified business credit.  I do not have a business. How do I remove the credit.   I did not say I have a business.  Do I remove the amount from line 5 on my dividends.  Do I delete form 8995. How do I remove the credit

[ThomasM125]

The company you have an ownership interest in that issued you the 1099-DIV has QBI income, so that means you have the same, since you are an owner.

You can leave the box 5 entry off of your 1099-DIV entry if you want, but it may increase your tax.

A simple way to delete forms in TurboTax online is to use the Tax Tools menu option, which is on your left menu bar when you are working in your program. Then, choose Tools and then Delete a form.

If you are working in the download TurboTax program, use the Forms Mode on your menu bar to bring up the form you want to delete, then choose the Delete Form option at the bottom of the form.

[1rn]

So my question is, do I have to delete the 8895 form because I don’t have a business and that will remove the credit.   Or as an individual do I get to claim the credit because it was on 099-div.  Why can’t turbo tax add a question. Do you have a business I answer no and it doesn’t create form 8895.  Also I don’t have that menu to delete forms that you mention.   I downloaded TurboTax on my desktop.  I don’t sign in just click on icon.   I don’t see the menu on the left side to delete a form on the desktop version

[AamilD · Accepted solution]

Even if you don't have a business, you can still qualify for the Qualified Business Deduction. As  you mentioned that since you did input Form 1099-DIV, that can also qualify you to get the Qualified Business Income Deduction. If you look at Form 1099-DIV, and see Box 5, if you have an amount that, that is most likely causing you to get the Qualified Business Deduction.

To delete forms, please visit How do I delete a tax form in the TurboTax CD/Download software? for more instructions for the desktop version.