ZuoTi.Pro
Question

Sam has $160,000 of QBI from her sole proprietorship which is not a “qualified services” business. Sams proprietorship paid

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

QBI is lesser of
20% of QBI i.e. $160000 x 20% = $32000
or
Greater from
50% of W-2 Wages paid = $30000 x 50% = $15000
or 25% of W-2 Wages paid + 2.5% of Qualified property = $30000 x 25% +$500000 x 2.5% = $20000

Answer is b. $20000

0 0
Add a comment
Know the answer?
Add Answer to:
Sam has $160,000 of QBI from her sole proprietorship which is not a “qualified services” business....
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Tammy has $200,000 of Qot from her neighborhood dothing store ſa sole proprietorship). Her proprietorship Dad...

    Tammy has $200,000 of Qot from her neighborhood dothing store ſa sole proprietorship). Her proprietorship Dad $30,000 in W-2 wages and has $20,000 of qualified property. Tammy's spouse earned $50,000 of wages is an employes, and the couple armed 520,000 of interest income during the year and will be filing jointly. What is their t deduction for 20197 a $54,000 b. $50,000 None of these choices are correct.

  • Margarita operates a sole proprietorship that earns $100,000 of qualified business income after deducting salaries of...

    Margarita operates a sole proprietorship that earns $100,000 of qualified business income after deducting salaries of $300,000. The sole proprietorship is not a specified service business. She files a single tax return for 2019. Assume her taxable income before the QBI deduction is $175,000. Margarita's QBI deduction for 2019 is: a.$20,000. b.$-0-. c.$60,000. d.$80,000. e.$35,000.

  • Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is...

    Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is not a "specified services" business. In 2018, the business pays $100,000 in W–2 wages, has $150,000 of qualified property, and has $150,000 in net income (all of which is qualified business income). Susan has no other items of income or loss and will take the standard deduction. What is Susan's QBI deduction?

  • Jocelyn earned $275,000 of qualified business income this year from her sole proprietorship and has taxable...

    Jocelyn earned $275,000 of qualified business income this year from her sole proprietorship and has taxable income, before any QBI deduction, of $250,000. Janice is permitted a QBI deduction of O $35,000 $55,000 $50,000 $0 Violet, Inc. has a warehouse completely destroyed by a tornado. The FMV of the warehouse was $650,000 and it had an adjusted basis of $375,00. The insurance company paid $800,000 for the loss and Violet used $750,00 of the proceeds to replace the warehouse. What...

  • Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is...

    Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is not a "specified services" business. In 2019, the business pays $100,000 in W–2 wages, has $150,000 of qualified property, and generates $350,000 of qualified business income. Susan has no other items of income or loss and will take the standard deduction. Assume the QBI amount is net of the self-employment tax deduction. What is Susan's qualified business income deduction?

  • 30. Tygrett operates a sole proprietorship business that earns $100,000 qualified business income after deducting salaries...

    30. Tygrett operates a sole proprietorship business that earns $100,000 qualified business income after deducting salaries of $300,000. She files a single return. What is her QBI deduction for 2019: A. $0 B. $20,000 C. $35,000 D. $60,000 E. $100,000

  • Jason and Paula are married. They file a joint return for 2019 on which they report...

    Jason and Paula are married. They file a joint return for 2019 on which they report taxable income before the QBI deduction of $212,000. Jason operates a sole proprietorship, and Paula is a partner in the PQRS Partnership. Both are a qualified trade or business, and neither is a specified services business. Jason's sole proprietorship reports $170,800 of qualified business income, reports W–2 wages of $57,200, and owns qualified property of $20,000. Paula's partnership reports a loss for the year...

  • Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is...

    Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is not a "specified services" business. In 2019, the business pays $60,000 of W–2 wages and generates $200,000 of qualified business income. Susan also has a part-time job earning wages of $11,000 and receives $3,200 of interest income. Assume the QBI amount is net of the self-employment tax deduction. What is Susan's tentative QBI based on the W–2 Wages/Capital Investment Limit? $ Determine Susan's allowable...

  • Susan, a single taxpayer, owns and operates a bakery as a sole proprietorship. The business is...

    Susan, a single taxpayer, owns and operates a bakery as a sole proprietorship. The business is not a specified services business. In 2019, the business pays $60,000 of W–2 wages and reports qualified business income of $200,000. Susan also has a part-time job earning wages of $11,000 and receives $3,200 of interest income. Assume the QBI amount is net of the self-employment tax deduction. What is Susan's tentative QBI based on the W–2 Wages/Capital Investment Limit? $ ______ Determine Susan's...

  • Susan, a single taxpayer, owns and operates a bakery as a sole proprietorship. The business is...

    Susan, a single taxpayer, owns and operates a bakery as a sole proprietorship. The business is not a specified services business. In 2019, the business pays $60,000 of W–2 wages and reports qualified business income of $200,000. Susan also has a part-time job earning wages of $11,000 and receives $3,200 of interest income. Assume the QBI amount is net of the self-employment tax deduction. What is Susan's tentative QBI based on the W–2 Wages/Capital Investment Limit? $ Determine Susan's allowable...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
Active Questions
ADVERTISEMENT