Thad, a single taxpayer, has taxable income before the QBI deduction of $196, 500. Thad, a CPA, operates an accounting practice as a single member LLC (which he reports as a sole proprietorship). During 2023, his proprietorship generates qualified business income of $157, 200, W-2 wages of $117,900, and $10,800 of qualified property. Assume the QBI amount is net of the self-employment tax deduction. If required, round any division to two decimal places and use that rounded amount in any future computations. Round your final answer to the nearest dollar. What is Thad's qualified business income deduction? $ 31,440 this is incorrect. can some one explain the step to figure this out. 31, 440
Thad, a single taxpayer, has taxable income before the QBI deduction of $196, 500. Thad, a CPA, operates an accounting practice as a single member LLC (which he reports as a sole proprietorship). During 2023, his proprietorship generates qualified business income of $157, 200, W-2 wages of $117,900, and $10,800 of qualified property. Assume the QBI amount is net of the self-employment tax deduction. If required, round any division to two decimal places and use that rounded amount in any future computations. Round your final answer to the nearest dollar. What is Thad's qualified business income deduction? $ 31,440 this is incorrect. can some one explain the step to figure this out. 31, 440
Chapter15: Taxing Business Income
Section: Chapter Questions
Problem 34P
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Transcribed Image Text:Thad, a single taxpayer, has taxable income before the QBI deduction of $196,500. Thad,
a CPA, operates an accounting practice as a single member LLC (which he reports as a
sole proprietorship). During 2023, his proprietorship generates qualified business income
of $157, 200, W-2 wages of $117, 900, and $10,800 of qualified property. Assume the QBI
amount is net of the self-employment tax deduction. If required, round any division to
two decimal places and use that rounded amount in any future computations. Round your
final answer to the nearest dollar. What is Thad's qualified business income deduction? $
31,440 this is incorrect. can some one explain the step to figure this out. 31, 440
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