QBI an Sale of Rental Real Estate

[jasdlm]

I'm about to cry 'Uncle' here.  I have been reading for hours and am no closer to feeling good about an answer.  Based on the following excerpt from the following link (pinned under 'Chat'), do you feel that in an entity that owns rental real estate and sells one piece at a substantial gain, the recaptured depreciation is QBI and the remaining gain is not QBI?  (Unrecaptured 1250 gain QBI; 1231 gain not QBI)

I guarantee from the variety of opinions I have read that there will be NO consistency of filing among preparers/individuals.

https://www.irs.gov/pub/irs-drop/td-reg-107892-18-corrected.pdf

To avoid any unintended inferences, the final regulations remove the specific reference to section 1231 and provide that any item of short-term capital gain, shortterm capital loss, long-term capital gain, or long-term capital loss, including any item treated as one of such items under any other provision of the Code, is not taken into account as a qualified item of income, gain, deduction, or loss. To the extent an item is not treated as an item of capital gain or capital loss under any other provision of the Code, it is taken into account as a qualified item of income, gain, deduction, or loss unless otherwise excluded by section 199A or these regulations.

[joanmcq]

I think it is as you say: 1250 is QBI (taxed at ordinary income rates) and capital gain is not.  The carve-out for capital gain from taxable income was to preclude the deduction being computed on income that has a special tax rate, therefore preventing a double benefit.

[ILLMAS]

Just out curiosity, does it flow automatically to 199a worksheet?  If not, how does one populate it to the worksheet?

[jasdlm]

Mine did not flow automatically.  It was a 1065, and I entered it by drilling down into the 'grayed in' line on the schedule K.