Pass through reporting


Can the pass throughresult gain/loss be reported on the Form 1040 both on schedule E2 via a K-1 and on line 9 Qualified business income deduction?


Any portion of your passthrough income that is being reported on Schedule E p2 that is eligible for line 9 of 1040 (the QBI deduction) is reported on the K-1 (1065 boxes 20Z-AD and 1120s boxes 17V-Z).


From the author of our 199A course:

The way that is worded seems to be asking if it should be counted on the E2 from the K-1 (answer is yes) and also the QBID deduction (line 9) the answer is yes again, but it comes from a different line on the K-1. It does not come directly from line 1… Have them check to see what is listed in line 17 V of the K-1 that flows into the line 9… I hope this helps a little more…