Question: 8) Problem 6-58 (LO 6-4) (Static) Felipe, a single taxpayer, is a technology consultant who operates as a sole proprietorship. Felipes net business income is

8) Problem 6-58 (LO 6-4) (Static)

Felipe, a single taxpayer, is a technology consultant who operates as a sole proprietorship. Felipes net business income is $600,000 (net of the associated for AGI self-employment tax deduction), he pays wages of $100,000 to his employees, and he has $200,000 of qualified property (unadjusted basis). Felipes taxable income before the deduction for qualified business income is $500,000. Assume he has no capital gains or qualified dividends.

Required:

a. Calculate Felipes deduction for qualified business income.

b. Calculate Felipes deduction for qualified business income if Felipe was an investment broker?

(For all requirements, leave no answer blank. Enter zero if applicable.)

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