Passing through W-2 wages on K-1 to 1120S

[SJ24601]

I'm working on the 1120s for my S corporation, which owns 1/7th of a partnership.  The partnership paid $350,000 in W-2 wages to non-shareholders.  The S Corp received a K-1 from the partnership showing the $50,000 share of the W-2 wages on Schedule K-1, Box 20, Code Z.

Do I report this $50,000 in W-2 wages on line 8 of  the S Corporation's 1120s?  

[Mike9241]

no . that 20z amount is only for determining the QBI deduction at the 1040 level. it has already been taken into account in determining the S-Corp share of partnership income/loss.