Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Returning Member
posted Feb 11, 2025 1:39:20 PM

QBI deduction missing in TT Business

I'm not getting any QBI reduction in the K1 pass-through distributions to the shareholders of the business. I went through the same procedure as I did last year on the 2023 return. I get to the point in 2024 TT Business "Is this a Qualified Business Income", answered Yes the income is QBI. Next screen is the "specified services" list (health, Law, etc) to which I answered No. Next section is Section 179 Carryover which I left blank since I have no carryover from previous years. What appears to be missing from last year's 2023 TT Business step-by-step, is verifying this is a QBI. 

Upon opening the K1s, there is no Statement A - QBI Pass-through Entity Reporting form. And of course there is no UBIA of qualified property entry. Last year that amounted to over $5K for each shareholder. Is this a bug? What is the work-around? Not even sure how to calculate the QBIA reduction amount. 

0 1 1735
1 Replies
Expert Alumni
Feb 19, 2025 4:11:42 PM

Please check the forms in your partnership return to see if there is a 199A Statement A Summary form listed below Form 1065 p5-6. The UBIA report should be listed next. Then there should be a Statement A below each partner's Schedule K-1 (which reports QBI information). Also, there should be a message under Line 20a(E) on each Schedule K-1 "** SEC 199A INFO: SEE STMT A"

 

If none of these forms appear in the forms list, you may need to revisit the "Other" topic in Step-by-Step and work though the QBI questions again. Even if you answer No to the first question, the forms should still be in the return, but without any values.