Question

A business generate a certain amount of income that is classified as "qualified business income" (QBI) for purposes of Section 199A The taxpayer seeking to claim a qualified business income deduction (QBID) has taxable income as shown below The business is a service business or a non-service business as shown below In each situation, the W-2 wages paid are S60,000 and the UBIA is S500,000 REQUIRED: Complete the blanks in the table for the allowed QBID Situation QB Service Business? Taxable Income Allowed QBID $200,000 Yes $200,000 No $200,000 Yes $200,000 No S200,000 Yes $200,000 No $200,000 Yes $200,000 No $200,000 Yes $200,000No S285,000 $285,000 S325,000 S325,000 S355,000 355,000 S385,000 S385,000 S425,000 S425,000

Answer 1

9Br 200,000 $200,ooo 20o,00o $ 285, ooo ye s NO YES N o YES 名925,000 435%,000 牛35,000 385,000 | | $ 21,60 436,000 名9900 $200, ooo 雾200,000 200,000 425, o oo Hon A as Seavice Businpe and ils Belo Phaseout elo Lo ness CCalcsla essen ot' in is given> xable loco me : 57,000 veston Taxable Income Dedechon limit is l$40,000) Siん B as sevice Business hlpe. "No" ord 'h lo) " NO a also a be nge . So, te de duclioo limit is same as in Deducion licnit is\ o,oo