Question

H and W are married, filing a joint return (MFJ). H has qualified business income (QBI)...

H and W are married, filing a joint return (MFJ). H has qualified business income (QBI) from his interest in a partnership of $280,000. The partnership pays no W-2 wages and has minimal business property. The partnership consists of accountants providing accounting services. H and W have total taxable income of $310,000, which includes long term capital gain of $10,000. What is the amount of the Section 199A QBI deduction for H and W? Show your work. In order to receive full credit, you will need to show me all the limitations that you have considered in your answer.

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