@IRonMaN

'Tax Cuts and Jobs Act, Provision 11011 Section 199A - Qualified Business Income Deduction FAQs | Internal Revenue Service'

"S corporations and partnerships are generally not taxpayers and cannot take the deduction
themselves. However, all S corporations and partnerships report each shareholder’s or partner’s
share of QBI, W-2 wages, UBIA of qualified property, qualified REIT dividends and qualified PTP
income on Schedule K-1 so the "shareholders or partners may determine their deduction"."

The K-1 'done properly' is Incorrect.
It's the K-1 recipient that decides whether or not QBID applies at their level.