When a partner gets a special allocation for Sec 754 depreciation it shows on the K1 on line 13 as Other Deduction with a supplemental statement attached to describe it. It is not showing on the 199A Supplement to line 20 of the K1 as part of the QBI, Code Z amount. How do I get it to be included as part of the QBI?
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This adjustment would be done on the 199A Summary Worksheet, and then from there you would be able to allocate if necessary.
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I will share with you how I did it. It was not from the 199A Summary Worksheet,I could not find that either??? Here is what I did on a 1065: press F6, on the list choose 199A Stmt A Sum( it is listed under Form 1065 p.4-5). I used the Other deductions line and clicked to a supporting stmt and entered in the description Sec 754 depreciation and the amount. I also entered the amount on Form 1065, pg 4 line 13d(C) Section 754 depreciation I used code W-Other deduction and used the SA(special allocation) column to allocated it to the specific partner.