Problem 15-32 (LO. 3, 4) Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is not a "specified services" business. In 2020, the business pays $100,000 in W–2 wages, has $150,000 of qualified property, and generates $150,000 of qualified business income. Susan has no other items of income or loss and will take the standard deduction of $12,400. Assume the QBI amount is net of the self-employment tax deduction. What is Susan's QBI deduction?
Problem 15-32 (LO. 3, 4) Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is not a "specified services" business. In 2020, the business pays $100,000 in W–2 wages, has $150,000 of qualified property, and generates $150,000 of qualified business income. Susan has no other items of income or loss and will take the standard deduction of $12,400. Assume the QBI amount is net of the self-employment tax deduction. What is Susan's QBI deduction?
Chapter2: The Deduction For qualified Business Income For Pass-through Entities
Section: Chapter Questions
Problem 24P
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Problem 15-32 (LO. 3, 4)
Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is not a "specified services" business. In 2020, the business pays $100,000 in W–2 wages, has $150,000 of qualified property, and generates $150,000 of qualified business income. Susan has no other items of income or loss and will take the standard deduction of $12,400.
Assume the QBI amount is net of the self-employment tax deduction.
What is Susan's QBI deduction?
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