Complete the paragraph below to answer the following question, Why do you think the QBI deduction is
Question:
Complete the paragraph below to answer the following question,
"Why do you think the QBI deduction is limited to earnings from a business conducted in the United States and doesn't also include business income from a foreign business activity?
A possible reason may be that most businesses ________ (worldwide/in the US) operate as sole proprietorships, partnerships, or S corporations, rather than as C corporations and Congress needed a means of reducing the taxes on businesses that operate in different business forms. Also, a primary goal for tax reform in 2017 was to ______ (lower/raise) the Federal income tax rate for C corporations, improving the ____________ (investment overseas/international competitiveness) of U.S. corporations and attracting investment ________ (overseas/in the US) from non-U.S. multinational corporations.
South-Western Federal Taxation 2019 Comprehensive
ISBN: 9781337703017
42th edition
Authors: David M. Maloney, William A. Raabe, William H. Hoffman, James C. Young