QBI on K-1

Forum|Forum|5 years ago
May 12, 2021
3 replies
39 views

Working on 2020 personal taxes. I have a K-1 Error - "QBI passive OP loss should not be greater than the total loss". Can't enter the correct numbers for 2018 and 2019. I may have made things worse by trying to override the default numbers. Should the QBI entry for each year be the same number as the Regular Tax field? Or should one of the entries be a total of other lines? Seems that when I override the 2019 entry, the 2018 entry automatically updates. Guess I don't understand the data flow.

47acre94

Level 4

Hi @User46 , I am in the same position. I am dealing with K-1's from master limited parternships (MLPs)/pass-through partnerships (PTPs). In most instances, the amount I see in the QBI column is the same as the value in the "Regular Tax" column. So on page 3 of the TurboTax K-1 form, line 1a, is what I am seeing placed in the Qualified Business Income Carryovers table at the very end of that same K-1 (page 7 and 8). In my case it's showing up in Row B which is titled "QBI suspended loss - passive".

The problem I'm having, which I don't know that you're having, is when I enter a number for QBI Passive Op Loss for 2019 (for clarity, I'm writing about the entry in Row G called "operating loss", it's recalculating the amount for 2018, row D operating loss to be the difference between the 2019 Row G operating loss for "Regular Tax" and the amount I entered. I don't think this is correct. I don't know why it's not summing all the past years passive losses. Is there something in the tax code that says the QBI carryover losses can only be the last 2 years?