My business shows a loss. Why do I have to pay self employment tax.

[fire1bob]

My business shows a loss.  On form 1040, line 9 "Qualified business income deduction" is 0 (zero) Why can't I deduct my loss?  How does this work?

[CarolynM]

The QBI is a deduction, not a addition to taxes. If you business had no income, it should be $0.

The loss on your business income is a loss. It shows on Schedule 1 Line 12. 

[fire1bob]

Strange thing is.....I was going over my return and realized that I had made a mistake in gross sales.  Added / changed the amount (to a higher gross) and I owed $110 more in taxes.  How does that work?  Business still showed a loss.

[CarolynM]

Even with a loss, the business is part of your AGI, so the losses are not as great against other income