Entering QBI carryovers in the Individual return in Lacerte

Want to learn more about QBI Deductions with Multiple Entities?

You can watch our webinar on How to plan for Multiple Business Entity Impacts on the Qualified Business Income Deduction. See here to view the recording.

Lacerte will automatically calculate and carryforward any unallowed QBI amounts to the following year, however, if you are entering a new return you may need to enter the carryover from the prior year.

Where you enter this depends on if it is a passive QBI carryover or if has already been allowed by the 8582:

For QBI loss carryovers that are still limited by passive activity limitations: 

1. Open the business activity screen that is associated with the QBI Loss:
   • Screen 20.1 for Partnership K-1s
   • Screen 20.2 for S Corporation K-1s
   • Screen 20.3 for Estate and Trust K-1s
   • Screen 18 for Rental and Royalty Income
   • Screen 19 for Farm Income
2. From the Sections on the left choose Prior Year Unallowed Passive Losses.
3. Enter the carryover amounts in the correct field:
   • For Screen 20: ​2023​ QBI unallowed passive loss
   • For Screen 19: 2023 QBI Operating
   • For Screen 18: 2023 QBI Operating
   • For Screen 16: 2023 QBI Operating

For non-passive QBI carryovers and QBI losses that are no longer limited by passive activity limitation:

1. Go to Screen 15, Net Operating Loss Deduction.
2. Click on the Current Year NOL button.
3. From the Sections on the left choose Qualified Business Loss Carryovers.
4. Enter the carryover amounts in Qualified business loss carryover.

Related topics

• How to enter QBI carryovers in ProConnect