How do I enter the QBI in Turbo Tax?

[JulieCo]

The QBI deduction is calculated automatically by TurboTax on your return.  It is a personal income tax deduction and is reported on line 9 of the 1040 form. 

If you have business income operated through a partnership, LLC, S corporation, or sole proprietorship, or real estate investment trust (REIT) dividends and qualified publicly traded partnership income, then a QBI deduction will be calculated on the eligible income.  Note that not all rental activity is eligible for the deduction.  Plus, for taxable income over the thresholds of $157,500 single/MFS or $315,000 joint, the QBI deduction is phased out for qualified business income of specified service or trade businesses (SSTB's) and completely eliminated for taxable income above $207,500 single/MFS and $415,000 joint.

Therefore, once you enter in your Schedule C, E, or F, 1099-DIV information and answer a few questions related to the business income, TurboTax will calculate the QBI deduction.

See more information below:

https://ttlc.intuit.com/replies/7019998

[Jskinner]

Turbo tax is not calculating QBI deduction for my LLC  entity but does for my wife's Schedule C business.  I don't see any place when entering K-1 info from the LLC where questions are asked about the LLC?  We are under the joint married threshold...so not sure what the issue is..

Any suggestions?

[DK2480296]

The QBI deduction is not working for LLC partnership - I have two active K1 from active businesses we are involved in - software computed the deduction last year but not 2019- Did they acknowledge the bug? is there a workaround before I lose my deduction 

[Bad_Answers]

There is usually a number keypad on the right side of your keyboard.  Use the numbers and the "dot" to enter in the value into the field in Turbotax.

[DavidS127]

You should have a Schedule K-1 from your LLC partnership, with a "box 20 code Z" and an associated "Section 199A" Statement or STMT (sometimes titled "Statement A").

Enter the code Z when you enter the K-1 box 20 screen, but you don't need to enter an amount on that screen.  Continue on, and you'll eventually find the screen  "We need some more information about your 199A income or loss".  When you check the box next to a category on that screen, a place will open up to enter the amounts from the Statement or STMT that came with your K-1.  The applicable category (or categories) on this screen (and the following "Let's check for some uncommon adjustments" screen, if applicable) must be completed in order for your K-1 QBI information to be correctly input into TurboTax. 

To get back to the K-1 summary screen and find the Schedule K-1 to edit, click the "magnifying glass Search" icon on the top row, enter "k-1" in the search window and press return or enter, and then click on the "Jump to k-1" link to find the K-1 you need to edit.

Here are screenshots of the "We need some information about your 199A income or loss" and "Let's check for some uncommon adjustments" screens where you enter the information from your K-1 Section 199A Statement/STMT:

[SwampYankee]

The software will not do it automatically and does not work.  You need to go to the forms page for schedule C and click on the box that you are qualified for the QBI.  Do not listen to ANYONE who says it does it automatically.  It has not since the 20% was instituted.  Are these people working for the IRS and trying to get you to overpay?

[LKon]

I went to the forms page (for 2019) and clicked the yes box on line D1 for "SSTB?" and when I did that it automatically checked the No box on line D2 "if no is income attributable to SSTB".  I can't uncheck that no box or click the Yes box and it won't calculate.  Is there another area  check to get this to work?  It won't calculate the QBI deduction

[CarissaM]

@LKon it would be best to contact customer support by clicking here for assistance. 

[TDL1]

When will TurboTax upload (for a download) the needed parameters to either load or populate/override the shareholder's name on the "Form 1120S Statement A - QBI Pass-through Entity Reporting Form?

The absence of this parameter blocks my ability to file the corporate taxes...due to this field not being populated?

As a result of not being able to populate this field the only choice the program gives me is to file by mail???  Really??

[TDL1]

Update:  This form should be transferring the information from Form K-1, Part II, Section E (Shareholder's Identifying Number) and Section F (Shareholder's Name).

Any suggestions??

Thanks in advance!

[AliciaP1]

There may be conflicting information entered about the business that is creating this error. Look on the "199A Act Wks" in forms mode, and see if you have conflicting answers to the questions about whether you are a business that qualifies for the QBI deduction (which is what Section 199A of the 2017 Tax Cuts and Jobs Act addresses).

To correct this you need to:

1. Within your return in step-by-step mode, click the Federal Taxes tab.
2. Choose the sub-tab Other
3. Answer the questions until you get to the Is this Qualified Business Income?
4. Change your answer to Yes, this income is QBI.
5. Click Continue and answer the questions through the rest of the "interview".
6.  Complete the Federal Review.

This automatically corrects your issue on your Statement A and populates your K-1 correctly.

[TDL1]

Thank you...to AliciaP1.

It answered my question/problem.

Stay Strong!!

[lakeken2020]

@AliciaP1 On my prior year return, the passive activity losses carrying over checkbox was selected. On Form 8582 the loss was ($1,458), but $0 loss was allowed. QBI on 2020 return is $-1,503. On 'Check this entry' screen, Schedule C Direct Marketing QBI Passive operating loss'  it says, "QBI Passive Op Loss must be entered." The amount I inputted was $-1,458. Now TurboTax (Online) says to review and check my entry: Schedule C (Direct Marketing): Passive Operating Loss ...sum of losses in individual years should not be greater than the total loss ($-1458.). Where do I find or what is the 2021Passive Operating Loss? Thank you in advance for you help!

[AliciaP1]

Can you clarify which version of TurboTax you're using?  Online or Desktop?  The steps are slightly different in the different versions.

@lakeken2020