k-1 Box 20 codeZ

[Help needed]

Hi,

     I have k-1 schedule Box 20 Code Z... statement.  In the statement section it lists

Rental income (Loss).        1456

Unadjusted Basis of Assets.       56000

How do I enter them on "we need some information about your 199A income.

I would really appreciate any help.

Thanks

[DaveF1006]

Yes, here is how to enter the information required in Box 20 of your K-1.

1. As you record information regarding your K1, you will check Box 20 in the check box asking you the type activity the partnership is involved in. To get there, you need to check the box indicating you have more than one of the boxes 1,2,and 3.
2. Then you will have check boxes from Box 4 to 21.  Make sure to check box 20.
3. Now the program will ask for Box 20 information. Select Z in the drop down menu but leave the amount blank.
4. Now you indicate you are at risk for your investment in the partnership.
5. Next asks you about your partnership income, here you will either indicate that the income came from the partnership or it came from a business within the partnership. This is disclosed in the statement you received.
6. If it is a business within the partnership, it will ask you details about the business. Again, this should be listed on the supplementary statement.
7. Next when it asks that it needs information about your 199A income, you will check the boxes that says business income (loss) and has UBIA of qualified property.
8. After you check these, there will be boxes that will appear allowing you to enter amounts for both.
9. You can select none for the adjustment screen that follow.
10. You can answer yes or no when it asks about specified services.
11. Finish this section until the end. 
12. Your QBI deduction should now appear in line 13 of your 1040.

Let us know if this helps.

[Help needed]

I have one more question: In Box 2 on K-1 it says net rental real estate income (loss) ..4

but in turbo tax it says for box 2  rental real estate income or loss. So since on my K-1 it says loss for box 2 should I put (minus) -4. I apologize for a stupid question, but I noticed if I don't put minus sign my federal due tax increases.

[LindaS5247]

Yes you are correct to put the minus sign, so it records it as a loss.