Level 2

Lacerte does not appear to be calculating QBI correctly in the Fiduciary module.  Reg. 1.199A-3(c)(3)(ii) requires that PTP income/loss be included or allowed in determining taxable income for the taxable year before it is included in QBI.  However, Lacerte is including ALL passive losses from PTPs in QBI and not limiting it to the portion included in taxable income for the year. 

The Individual module, however, is limiting the PTP losses included in QBI to the portion deducted in determining taxable income.  That is, the Individual module seems to be handling PTP losses correctly.

Why is the Fiduciary module computing differently than the Individual module?

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