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March 10, 2020
Question

Turbo tax is not calculating my QBI deduction and it should be doing that.

  • March 10, 2020
  • 5 replies
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5 replies

KrisD15
March 10, 2020

Is this on your personal tax return? 

What type of business income is it? Schedule C, K-1? 

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April 11, 2020

ITs K-1 income from an LLC

 

DavidS127
April 12, 2020

Check to make sure your K-1 entry included entry on the screens to enter your Section 199A/QBI information provided with your K-1. These screens are described and show in screenshots later in this post.

 

For a partnership Form 1065 Schedule K-1, the Schedule A QBI information is entered into TurboTax as box 20 with a code Z.

 

For an S-corp Form 1120S Schedule K-1, the Schedule A QBI information is entered into TurboTax as box 17 with a code V.

 

Form a trust Form 1041 Schedule K-1, the Schedule A QBI information is entered into TurboTax as box 14 with a code of I (as in India).

 

You'll need to put the information on each of the K-1 statements into the categories shown in the "We need some information about your 199A income or loss" and "Let's check for some uncommon adjustments" screens (see two screenshots later in this post). 

 

Enter the code Z or V or I when you enter the K-1 box 20 or 17 or 14 screen, but you don't need to enter an amount.  Continue on, and you'll find the two screens.  When you check the box next to a category, a place will open up to enter your amounts.  These screens (if applicable to the amount(s) on your statement) 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 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:

@MRP7860

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March 10, 2020

you need to get to the section on schedule C input form/worksheet. there you provide the info for the QBI deduction to be calculated 

 

please note the for the QBI

 

 

schedule C income is reduced by

1/2 the self employment tax

the deduction for self employed health insurance

related retirement plan contributions

 

September 28, 2022

I am on the Business Profile for my business in Turbo Tax Home & Business but I don't see any queston re QBI

Employee
September 28, 2022

@ DJC45  wrote:

I am on the Business Profile for my business in Turbo Tax Home & Business but I don't see any queston re QBI


I believe the questions about QBI appear right after you finish entering the business expense questions, i.e., near the end of the business interview.   Have you finished entering the business income and business expenses? 

 

EDITED for clarification 9/27/2022 at 6:05 PM Pacific

 

I see you are using desktop software, so please disregard my earlier comment about a shortcut in the Online version, which you may have been emailed.  However, the following method is similar for the desktop version.   In your Home and Business software, this is a shortcut for the Windows version using the Jump link:

  • In the top right click on the Search tab/icon.
  • In the search box enter QBI without quotes., then click the adjacent small magnifying glass.  NOTE:  Do not select anything in the dropdown menu while entering that term; instead first click the small magnifying glass after entering it.
  • Then click on "Jump to QBI."
January 31, 2021

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?

January 31, 2021

Thank you! Do you think this might work for my case also?

 

Hello I realize this is old thread but I'm currently using 2019 Turbo Tax Small Business. I'm a sole proprietor self employed contracter and only have income on 1099-MISC form. The software is not calculating my QBI. Is there a certain field I should be filling out for this? I do not have an S Corp or partnership etc for K-1 form.

January 31, 2021

I am in the same situation, sole proprietor running a DBA, no corporation or LLC.  The QBI is designed for pass-through businesses like mine and presumably yours.  It is up to you to make the legal determination as to whether you qualify for the QBI but right at the top of the Schedule C form (which you should be filling out if you have a business) is a box for you to click to enable the QBI.  

 

https://ttlc.intuit.com/community/credits-and-deductions/help/what-is-the-qualified-business-income-qbi-deduction/00/27455

 

 However, I would not be using the 2019 program to fill out my 2020 taxes.  I am not a tax professional and have no idea what has changed between 2019 and 2020 but I do know that tax code can change and I would not risk using an old program.  I do recall when they child tax credits dropped annually and using the old form would have given you too high a tax credit. 

March 22, 2021

I had a large QBI deduction in 2019 and my 2020 return won't even calculate it.  My income is nearly the same, and according to IRS instructions I meet the criteria.  Tried opening the QBI worksheet and inputing data there, but it won't accept data.  TurboTax's site says "QBI is calculated automatically" - but it's not.  They also say the form will be released by IRS on 5 Feb and it's now Mar 22.  My desktop version says "no updates needed."

 

Can't get anybody to talk to me at TT.  This is the last year I buy TurboTax.  And I've been buying it for over 20 yrs.  

March 23, 2021

You need to go into FORMS and manually select it in schedule C.  It's a small checkbox at the top.  Have you tried that?  Yes, the program gets worse every single year and less user intuitive.  It's not like the old days when they were actually helpful....

April 2, 2023

Saw your post to use Schedule C if QBI not calculating in  TT.  I previously entered income & expense & depletion on 1041 & associated forms for Trust royalties.  So, will TT pick up that data to calculate QBI once I include Schedule C in my forms ??   Do I only have to checkmark the QBI box on Schedule C for is to link to the data??

February 18, 2022

I did not submit my 2021 taxes yet because Turbotax is not giving me the Qualified Business Income (QBI) deduction. My Form 1040 line 13 is blank and I don't know why. My business has been eligible for QBI deduction ever since it was instituted. 

 

Is someone able to help me please? Thanks!

February 19, 2022

I have not used the current version yet.  I bought it and haven't gotten into it much but in previous versions, you need to go into forms and manually click the QBI square if it does not do it automatically.  Turbotax software is the buggyiest mess I have ever dealt with.