How can I remove the QBI deduction? I don't want it included in my filing.

[ColeenD3]

Yes.  You can make an entry that disqualifies you from receiving the deduction. You can say that it is not a trade or business

[Anonymous]

How do I do this?

[DeanM15]

As ColeenD3 states, you can say it is not a trade or business. This applies if you have Self Employment income or Rental income.

In some cases, your portfolio income can come in under the QBI or Section 199A deduction. QBI can come into your return on 1099DIVs and Schedule K1s, to name just a couple. 

If you have a QBI amount that you are not sure of, I would check box 5 of your 1099DIVs first. These are called Section 199A dividends which is another fancy way of saying QBI. If you have Schedule K1s, I would check those as well, most likely under Box 13 if it is a Partners K1 or Box 12 is a Subchapter S K1.

You can read more about Section 199A/QBI deductions here and here.

[pburkert]

While I may qualify for this deduction due to my investments, I'd like not to take it. Why doesn't Turbotax allow me not to take it? How can I use turbotax to get rid of thisi $9 deduction?

[JamesG1]

I suspect that deleting the REIT dividends from box 5 of the 1099-DIV will remove the qualified business income deduction.

But then you need to consider whether the IRS will be asking questions at some point down the road.

[Anonymous]

Thanks very much, I'll figure something out!

[mbhoffman99]

Where, specifically, do I say that it is NOT a trade or a business (but still count the earnings/income)?  (But eliminate the QBI deduction)....

[DavidS127]

TurboTax automatically calculates your Qualified Business Income (QBI) deduction based on the entries you make for QBI businesses (Schedule C self-employment income, Schedule E rental income) or the entries you make for QBI income "passed through" from other businesses (1099-DIV, Schedule K-1).

For everything except the 1099-DIV, you answer a QBI question during the TurboTax interview (i.e., yes or no).  For the 1099-DIV, there is no way in TurboTax to (correctly) report these Section 199A dividends as anything other than QBI, unless you know that they were held for less than the required 45 day holding period.

[tersigni9927]

That may be correct and I appreciate the direct answer, unlike many others, but it's ridiculous that tax prep software is forcing me to claim a deduction.

I'll be reporting this to TIGTA.

[joann44]

You can report all you want, but I don't think they are going to care one bit about the fact that the software is PROPERLY preparing your return.  😕  What a silly thing to be upset about.  You can file the return by hand if you prefer, and leave software that helps you do it right out of the equation.  

There are many instances on a tax return where not taking a deduction can constitute fraud, so you're wise to keep it in there.