Tax Year Prior to 2020: Unable to efile due to QBI Deduction Worksheet Schedule B

[oaklander]

Yes, this would work unless you need the aggregate Worksheet Schedule B, which many of us do.  If you need it, you cannot efile.

[lilin-ko]

Go to the Forms and look for "QBI Component (..)".  Delete this form and run the check again.  It should work.  Good luck!

[DavidS127]

As Community users oaklander and Andrewlisy pointed out, at this time TurboTax will not e-file a 2019 tax return with Form 8995-A Schedule B aggregation.  These returns are print and mail only.  No date has been given for when e-file will be enabled for Form 8995-A Schedule B.

If you do not want or need to aggregate your QBI businesses, TurboTax will e-file the tax return.  

Once you aggregate for a tax year (e.g., 2018), you must continue to aggregate in future years.  But, not aggregating last year does not preclude you from aggregating this year or in a future year.    Refer to the IRS instructions for Form 8995-A for more information on aggregation.

If you do not need or want to aggregate any businesses, here is how to “un-aggregate” them in TurboTax Online or TurboTax Download/CD: 

1. Go to Delete a Form: In the left menu, select the dropdown arrow next to Tax Tools and then under that select Tools; in the pop-up window Tool Center, choose Delete a form.
2. Find the QBI Component form for the aggregated businesses.  Delete that QBI Component sheet.
3. Now, go to Review and start the review routine.
4. You will have an error for each business that no longer has a QBI Component form.  For each of those businesses, you will see the “primary” form for that business (Schedule C, Schedule E, K-1). It will be highlighted for Question A in the Qualified Business Income Deduction Smart Worksheet.
5. Double click in the highlighted Question A box, and you will get a pop-up asking you to link to a QBI component worksheet.  Create a new copy for that business (e.g., give it the name of that business).
6. Continue until you have created a separate QBI component worksheet for each business that you do not want to aggregate.
7. If TurboTax Online will not let you double-click the Question A box, go to the primary form for that business (Schedule C, Schedule E, K-1) and Continue through the entire interview until you finish, including the questions about QBI/Section 199A amounts at the end.
8. If TurboTax Online re-aggregates your businesses "automatically" and you are absolutely sure you are not required to aggregate in 2019, in step 2 above delete the QBI Ded Summary form in addition to the QBI Component worksheets.

If you are using a Download/CD version of TurboTax, you can also perform these steps in Forms mode (icon at top right in blue bar).

[soConfused111]

Thank you, David!

I do wish TurboTax had told us about this 3 weeks ago, before I snail-filed my taxes.

[Okie Steve]

Unfortunately, I aggregated last year, but was able to E-file. I would not have aggregated last year if E-file was unavailable.

It appears that "once aggregated, always aggregated".

It looks like I will snail mail my bulky return this year. I hope TT finds a solution for 2020. It will be a deal breaker if I can't E-file next year using TT.

[bhead]

Berger's solution of deleting the QBI worksheet for "XXX Rental Properties" worked. Once I deleted the listed property, it created separate forms for each of them.

It now says I can file!

[tol]

Since the filing deadline has been moved to 7/15/2020, any chance TT will now be able to file with aggregation for TY2019 if we just wait  ????

[DCT1]

As a long time user of TT, this issue is extremely frustrating. My printed tax return consists of 98 pages and I have to include a copy to send to the state of CA also! What a waste of time, paper, and money.  This problem should have been fixed by now. TT has dropped the ball, and I am not longer an ardent fan of the software. 

[DavidS127]

No date has been given for when e-file will be enabled for 2019 tax returns with Form 8995-A Schedule B to aggregate QBI businesses.

[DougM]

Hi David,

Does this mean:

A)  It's not going to happen, so you should figure it out as best you can right now, or

B)  It is going to happen, but we aren't committing to a date, so you should wait for a bit.

Can you please find out for us?

Thanks

Doug

[tol]

I just noticed that TT incorrectly forces a "zero" as UBIA if you sell a property in the aggregation in the tax year.  So I overrode the UBIA for the property in QBI Schedule B - but the forms do not use the override $, so you have to override all the $'s in the calculations and carryfoward to Form 8995A and QBI Worksheet.  Super unimpressive !!

Plus - I'm like the other guys with over 90 pages of federal return and several states (due to a small DST investment).  So - I have to print 800 pages to file by paper to file the fed and state returns.   TT won't e-file state returns if the Fed is paper.

TT - are you enabling e-file for 2019 or not ?

[tol]

Also - check the math on Part IV of form 8995A.  Line 32 does not add lines 27 and 31 correctly for me.

TT - can someone contact me re; timing for a fix on this ?

[DM26]

I, along with numerous other taxpayers,  have been waiting for quite some time for guidance on the issue where TurboTax is not allowing e-filing when the “QBI Deduction Worksheet Schedule B – Aggregation of Business Operations” is present.  Having to file to both Federal and State manually will be a huge hassle due to the numerous pages involved.  Also, filing on paper will cause delays in processing as well as could trigger an audit with some data being omitted or incorrect when the data is entered manually.  Some have suggested to disaggregate their business operations however that will require the taxpayer to spend 250 hours or more of rental services for EACH property and possibly have the QBI deduction reversed if audited.  Why would we have to do this just because TurboTax won’t update their software?  I purchased the Premier software since I own a lot of rental properties.  I do not want to paper file.  I see that a great many of users are asking the same question – Will TurboTax be updated to allow efiling with the “QBI Deduction Worksheet Schedule B – Aggregation of Business Operations” and, if so, WHEN?????  TurboTax fails to answer nor do they even issue a statement that this issue is being worked (with some kind of date estimation).

[chris_vandoren]

This is just unacceptable.  As a manger of programmers I have some understanding of the amount of time to fix this problem, and that amount of time is dwarfed, many times over, by the amount of time already spent by Turbotax customers to deal with this issue.

It is a simple form and the inability to transmit it and the resulting repercussions of that to the customers is just unfathomable.  You have people having to paper file 100's of pages and likely wait months for our refunds (as the processing of returns will be affected by the virus) .

I need Turbotax to float me $24,000  until I get my refund.

[DavidS127]

Form 8995-A Schedule B e-file will be enabled in the update scheduled on or about 4/1/2020.

[Edited 3/27/2020|10:58am PST]

@DougM