In 2018, Gloria, a single taxpayer, receives a Schedule K-1 from a partnership she is invested in.
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In 2018, Gloria, a single taxpayer, receives a Schedule K-1 from a partnership she is invested in. The K-1 reports ordinary business income of $40,000, dividend income of $500, tax-exempt interest of $300, and a guaranteed payment to Gloria of $10,000. Gloria’s taxable income before the QBI deduction is $87,000. What is Gloria’s QBI deduction?
a. $17,400
b. $10,160
c. $10,000
d. $8,160
e. $8,000
DividendA dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their... Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...
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Related Book For
Income Tax Fundamentals 2019
ISBN: 9781337703062
37th Edition
Authors: Gerald E. Whittenburg, Steven Gill
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