Question

Thad, a single taxpayer, reports taxable income before the QBI deduction of $188,000. Thad, a CPA,...

Thad, a single taxpayer, reports taxable income before the QBI deduction of $188,000. Thad, a CPA, operates an accounting practice as a single member LLC (which he reports as a sole proprietorship). During the 2019 tax year, his proprietorship generates qualified business income of $150,400 after deducting self-employment taxes, W–2 wages of $112,800, and $8,400 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 QBI deduction?

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Hi

Let me know in case you face any issue:

0 0
Know the answer?
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
Similar Questions
Exercise 15-17 (Algorithmic) (LO. 3, 4) Thad, a single taxpayer, reports taxable income before the QBI...
Exercise 15-17 (Algorithmic) (LO. 3, 4) Thad, a single taxpayer, reports taxable income before the QBI deduction of $171,500. Thad, a CPA, operates an accounting practice as a single member LLC (which he reports as a sole proprietorship). During the tax year, his proprietorship generates qualified business income of $137,200 after deducting self-employment taxes, W–2 wages of $102,900, and $8,800 of qualified property. Assume the QBI amount is net of the self-employment tax deduction. If required, round any division to...
In 2019, Kendra has taxable income before the QBI deduction of $274,000. Kendra is single and...
In 2019, Kendra has taxable income before the QBI deduction of $274,000. Kendra is single and has income from her law firm (a sole proprietorship operating as an LLC) of $200,000. Her law firm paid wages of $82,000 and has qualified property of $20,000. What is Kendra’s QBI deduction?
in 2019, Krystal has taxable income before the QBI deduction of $274,000. Krystal is single and...
in 2019, Krystal has taxable income before the QBI deduction of $274,000. Krystal is single and has income from her law firm (a sole proprietorship operating as an LLC) of $200,000. Her law firm paid wages of $82,000 and has qualified property of $20,000. What is Krystal’s QBI deduction under Section199A?
Margen is single and has taxable income before the QBI deduction of $173,300. Margen owns a...
Margen is single and has taxable income before the QBI deduction of $173,300. Margen owns a sole proprietorship (not a professional service) that produced net ordinary income of $180,000 and subject to self-employment tax of $21,300. The business paid total W-2 wages of $74,000 and the total unadjusted basis of prop­erty held by the business is $120,000. How much is Margen’s QBI deduction?
Problem 2. Scott Taxpayer is an Attorney who operates his own law firm. As a single-member...
Problem 2. Scott Taxpayer is an Attorney who operates his own law firm. As a single-member LLC, Scott reports his firm operations as a sole proprietor. Scott has QBI from his law firm of $450,000, he reports paying W–2 wages of $140,000, and the unadjusted basis of property used in the LLC is $350,000. Scott is married and will file a joint tax return with his spouse. Their taxable income before the QBI deduction is $425,000, including $20,000 of capital...
Jason and Paula are married. They file a joint return for 2020 on which they report...
Jason and Paula are married. They file a joint return for 2020 on which they report taxable income before the QBI deduction of $274,500. 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 generates $167,200 of qualified business income and W–2 wages of $50,000 and has qualified property of $20,000. Paula's partnership reports a loss for the year,...
55. Ashley (a single taxpayer) is the owner of ABC, LLC. The LLC (a sole proprietorship)...
55. Ashley (a single taxpayer) is the owner of ABC, LLC. The LLC (a sole proprietorship) reports QBI of $900,000 and is not a specified services business. ABC paid total W-2 wages of $300,000, and the total unadjusted basis of property held by ABC is $30,000. Ashley’s taxable income before the QBI deduction is $740,000 (this is also her modified taxable income). What is Ashley’s QBI deduction for 2019?
Margarita operates a sole proprietorship that earns$ 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 2020. Assume her taxable income before the QBI deduction is$ 175,000. Margarita's QBI deduction for 2020 is: a. $-0-. b. $20,000. c. $35,000. d. $60,000. e. $80,000.
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 $297,000. 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 $188,800 of qualified business income, reports W–2 wages of $47,600, and owns qualified property of $21,500. Paula's partnership reports a loss for the year,...
Huy is single, age 40, and operates a sole proprietorship. In 2020, Huy's sole proprietorship generated...
Huy is single, age 40, and operates a sole proprietorship. In 2020, Huy's sole proprietorship generated income of $200,000, and the deductible business expenses totaled $120,000. Huy also had other gross income of $40,000. Huy takes the standard deduction. What is Huy's 2020 taxable income? Which of the following is most accurate? Group of answer choices The QBI deduction is a tax credit, and Huy does not qualify because it only applies to C corporations The QBI deduction is taken...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT