''qualified business income component wkst: aggregation statement must be ordered. ''

Forum|Forum|6 years ago
February 24, 2020
1 reply
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Hi, got stuck with the above message . I have several rentals. In 2018 I think I aggregate them. This year the tt self employed did not ask any questions about aggregation, but the problem popped up after review when I got the message. I do not have any option on aggregating or dez-aggregating my rentals, just to write a statement. How can I go back and forth to see if I have any benefits from aggregating ? One problem is that due to a missing file ( supposed to be available on 2/28 ?), I can nor e file but just mail....as a consequence of aggregating and qbi. I am not a real estate pro, the rentals are just side business. Thanks.

davidmcabq

Level 2

I have a similar problem. TT deluxe aggregated things I didn't ask it to aggregate, and I can't dis-aggregate them. I have a small music side business and a couple of rentals. They have nothing to do with each other. Yet as part of the QBI calculations, they were aggregated. TT now requires me to enter a statement on the QBI Component worksheet stating why these things were aggregated.

I don't want to make up something on the worksheet, but TT won't let me finish if the statement isn't completed.

DavidS127

Level 13

If your aggregate/not aggregate choices are not what you want, you can change the designation as "aggregated" in TurboTax Online. Follow these instructions, previously provided by Community Champ tagteam:

Go back through the interview for each business or rental property you entered. If you see a screen asking if your taxable income might exceed $160,700 (or $321,400 if married filing a joint return), answer Yes (even if that is not the case). Answer No to the specified services trade or business question (unless it applies to your business). You should then encounter the screen "Should [name] be treated as part of a combined business?". That screen will give you the option to combine the business or rental into another or indicate that the "business" is independent of any other activities.

If you are using TurboTax Download/CD version, you can make the switch in Forms mode. Save a back-up copy (Save As) of your tax return and then try this approach:

In Forms mode, find the schedule for each business/source of QBI (e.g., Schedule C or Schedule E), and then find the Qualified Business Income Deduction Smart Worksheet for that form (e.g., for Schedule C it is after Part V, for Schedule E it is after Line 22 Deductible rental real estate loss). Question A in that smart worksheet asks which QBI worksheet to report (QuickZoom). Choosing the same QBI worksheet for all businesses is how TurboTax aggregates them for QBI calculations; conversely if you use a separate QBI worksheet for each business/source of QBI they do not aggregate for the calculation. The QBI worksheet is named the "QBI component worksheet".

So, you can delete the QBI component worksheets that are not like you want, and repopulate new QBI component worksheets in the Qualified Business Income Deduction Smart Worksheet for each Schedule C/Schedule E, question A.

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grahailaAuthor

Level 3

The problem is that there is no such a screen asking for income more than 321k...when I did the 2019 taxes first time, I was asked if I want to aggregate some properties. Since then, I started the 2019 from complete scratch not once but twice, and the aggregation question did not pop up at any moment in time. I think it is a software defect, otherwise it makes no sense.