Welcome back! Ask questions, get answers, and join our large community of tax professionals.
Showing results for 
Search instead for 
Did you mean: 

QBI deduction not computing

Level 1

Small lawnmower engine LLC filing as an Scorp, operating income is $59,221 on the K-1 sent to 1040 but no deduction is being computed. Adjusted gross income is $109,000. What gives?

Labels (1)
0 Cheers
4 Comments 4
Level 15

What is showing up of Form 8995?

SEHI on W-2?

Retirement plan contribution?

Capital gains?

Large itemized deductions?

Level 15

Who prepared the K-1?

DOES it show QBI info?  Box 20 (or is that for a partnership...)

The eligibility for QBID is determined at the entity level....maybe lawnmower repair doesn't qualify?  Maybe the K-1 is prepared incorrectly?

JUST income showing on the K-1 doesn't automatically trigger the computation.

To repeat myself....NMI


Level 15

What else is on the K-1?

Ukraine - hang in there
Level 15

yeah... could have §179 on it...