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

Q3. How do S corporations and partnerships handle the deduction?
A3. 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.

QBID is determined on the K-1 recipient level.