Thad, a single taxpayer, has taxable income before the QBI deduction of $186,500. Thad, a CPA, operates an accounting practice as a single member LLC (which he reports as a sole proprietorship). During 2020, his proprietorship generates qualified business income of $149,200, W–2 wages of $111,900, and $14,000 of qualified property. Assume the QBI amount is net of the self-employment tax deduction. If required, round any division to two decimal places. Round your final answer to the nearest dollar. What is Thad's qualified business income deduction?
Thad, a single taxpayer, has taxable income before the QBI deduction of $186,500. Thad, a CPA, operates an accounting practice as a single member LLC (which he reports as a sole proprietorship). During 2020, his proprietorship generates qualified business income of $149,200, W–2 wages of $111,900, and $14,000 of qualified property. Assume the QBI amount is net of the self-employment tax deduction. If required, round any division to two decimal places. Round your final answer to the nearest dollar. What is Thad's qualified business income deduction?
Chapter15: Taxing Business Income
Section: Chapter Questions
Problem 24P
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Thad, a single taxpayer, has taxable income before the QBI deduction of $186,500. Thad, a CPA, operates an accounting practice as a single member LLC (which he reports as a sole proprietorship). During 2020, his proprietorship generates qualified business income of $149,200, W–2 wages of $111,900, and $14,000 of qualified property.
Assume the QBI amount is net of the self-employment tax deduction. If required, round any division to two decimal places. Round your final answer to the nearest dollar.
What is Thad's qualified business income deduction?
$
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