asked

A taxpayer has a K-1 with ordinary income of $1,356,547 and wages of $243,000. She is single and filing as head of household. Her business is direct sales, which qualifies as a qualified business. Does she qualify for the Qualified Business Income Deduction (QBID) since her income is above the phase-in amount of $207,500? If so, how much QBID is she entitled to, and does her high income affect her eligibility?

May 20th, 2023

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