933473The QBI looks good to me. Looking at the return, not able to see names, let me tell you what I can see. I see Schedule C with start-up costs. That should tell you which person. Then the QBI deduction worksheet below it shows the tentative profit, the smaller of the 2 business returns. This number is then reduced by self employed health insurance and half of the self employment tax. These 2 deductions add up to the income so that the Sch C profit after self employment deductions is zero. This carries to the QBI section and remains at zero throughout the calculations. The other business has no health insurance, only the deduction for half of the self-employment tax and QBI is calculated on that income minus half SE tax. Since you are using the desktop version, you can click in the top right on the word FORMS. On the left side, scroll down to the 2 sch C forms and view them. If you have any other questions about this, please @AmyC since I have your file.

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Why cant we both qualify for the QBI? Wife and I both received a 1099-nec. I got it last year, but this is her first year to get the NEC. she gets the QBI, not me.

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February 22, 2022
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Best answer by AmyC

933473

The QBI looks good to me. Looking at the return, not able to see names, let me tell you what I can see.

I see Schedule C with start-up costs. That should tell you which person. Then the QBI deduction worksheet below it shows the tentative profit, the smaller of the 2 business returns. This number is then reduced by self employed health insurance and half of the self employment tax. These 2 deductions add up to the income so that the Sch C profit after self employment deductions is zero. This carries to the QBI section and remains at zero throughout the calculations.

The other business has no health insurance, only the deduction for half of the self-employment tax and QBI is calculated on that income minus half SE tax.

Since you are using the desktop version, you can click in the top right on the word FORMS. On the left side, scroll down to the 2 sch C forms and view them. If you have any other questions about this, please @AmyC since I have your file.

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Cynthiad66

@sdarden - Sounds like you are saying that you are receiving the QBI deduction but not your wife.. Also sounds like she is entitled and you are not. This can all be due to how you entered the Form 1099NEC. You will need to ensure that it is entered as Spouse income if you have that option. Also, if you are filing a joint return, the deduction is computed on the total income on the return and the deduction is applied to the income for the business.

The QBI deduction is calculated automatically by TurboTax on your return. Therefore, once you enter in your Schedule C, E, or F, 1099-DIV information and answer a few questions related to the business income, TurboTax will calculate the QBI deduction

The qualified business income deduction (QBI) is a tax deduction that allows eligible self-employed and small-business owners to deduct up to 20% of their qualified business income on their taxes. In general, total taxable income in 2021 must be under $164,900 for single filers or $329,800 for joint filers to qualify.

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sdardenAuthor

I have received QBI in the past and am still self employed. This is the first year my wife received a NEC. This years she is getting the QBI and I am not. I checked the same blocks on the TT NEC forms, and rechecked, but only she is getting the deduction. Recommendation?

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sdardenAuthor

The QBI looks good to me. Looking at the return, not able to see names, let me tell you what I can see.

I see Schedule C with start-up costs. That should tell you which person. Then the QBI deduction worksheet below it shows the tentative profit, the smaller of the 2 business returns. This number is then reduced by self employed health insurance and half of the self employment tax. These 2 deductions add up to the income so that the Sch C profit after self employment deductions is zero. This carries to the QBI section and remains at zero throughout the calculations.

The other business has no health insurance, only the deduction for half of the self-employment tax and QBI is calculated on that income minus half SE tax.

Since you are using the desktop version, you can click in the top right on the word FORMS. On the left side, scroll down to the 2 sch C forms and view them. If you have any other questions about this, please @AmyC since I have your file.

thank you. I see where the elf employment tax and insurance was greater than my net profit. Thank you for walking me through it