Question: Annika has $ 2 0 0 , 0 0 0 of QBI from her neighborhood clothing store ( a sole proprietorships ) . Her proprietorship

Annika has $200,000 of QBI from her neighborhood clothing store (a sole proprietorships). Her proprietorship paid $30,000 in W-2 wages and has $20,000 of qualified property. Annika's spouse earned $50,000 of wages as an employee, they earned $20,000 of interest income during the year, and they will be filing jointly. What is their QBI deduction for 2023?
A. $0
B. $40,000
C. $50,000
D. $54,000
It says that the answer is B. Can you please provide in detail how to get that answer.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

Damon Manufacturing is preparing its master budget for the first quarter of the upcoming year. The following data pertain to Damon Manufacturing's operations: Current Assets as of December 31 (prior...

Q:

Annika has $200,000 of QBI from her neighborhood clothing store (a sole proprietorship). Her proprietorship paid $30,000 in W-2 wages and has $20,000 of qualified property. Annika's spouse earned...

Q:

Annika has $200,000 of QBI from her neighborhood clothing store (a sole proprietorship). Her proprietorship paid $30,000 in W-2 wages and has $20,000 of qualified property. Annika's spouse earned...

Q:

Annika has $200,000 of QBI from her neighborhood clothing store (a sole proprietorship). Her proprietorship paid $30,000 in W-2 wages and has $20,000 of qualified property. Annika's spouse earned...

Q:

Question 12 Annika has $200,000 of QBI from her neighborhood clothing store (a sole proprietorship). Her proprietorship paid $30,000 in W-2 wages and has $20,000 of qualified property. Annika's...

Q:

QUESTION 31 Which of the following expenses, if any, may qualify as deductible for Federal income tax purposes? a. Contributions to a Coverdell Education Savings Account. . b. Contribution to a...

Q:

1. Tammy has $200,000 of QBI from her neighborhood clothing store (a sole proprietorship). Tammys proprietorship paid $30,000 in W-2 wages and has $20,000 of qualified property. Tammyand her spouse...

Q:

36. Which of the following expenses, if any, is/are deductible? a. Contribution to a Roth IRA. b. Costs involved in maintaining an office in the home by a self-employed insurance adjuster. Taxpayer's...

Q:

Taylor, a single taxpayer, has taxable income before the QB deduction of $190,700. A CPA, he operates an accounting practice as a single-member LLC (which he reports as a sole proprietorship). During...

Q:

please see attachment for the practice quiz.Please answer questions in the work document provided 1. A sole proprietorship: (Points : 1) must be owned by an individual. provides basic liability...

Q:

Directions to students: Download the solution to part 1 in the doc share (FILE: Unit 1 ETHICS CASE) or by clicking on the button to the left. Review the solution to parts 1 and 2 in the case. Drawing...

Q:

Why do e-marketers often have difficulty estimating the revenues, costs, and payout or ROI of a new product under development?

Q:

The stockholders equity section of Montel Companys balance sheet follows. The preferred stocks call price is $40. Determine the book value per share of the common stock. Preferred stock5% cumulative,...

Q:

in general, the more _ a decision between alternatives, the _ post - decision dissonance

Q:

Following is a bank reconciliation for Zocar Enterprises for June 30, 2018. When reviewing the bank reconciliation, Zocar's auditor was unable to locate any reference to the NSF check on the bank...

Q:

Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next months budget appear below: Required: 1. Compute the companys margin of safety. 2. Compute the...

Q:

In a low-pass RL filter (a filter that passes signals with low frequencies), the ratio of the magnitudes of the voltages is given by: where is the frequency of the input signal. Write a user-defined...

Q:

Nickleson Company had an unadjusted cash balance of $7,750 as of May 31. The companys bank statement, also dated May 31, included a $72 NSF check written by one of Nicklesons customers. There were...

Q:

Two examples of massively mismanaged projects are TAURUS and the Big Dig. The first, formally called the London Stock Exchange Automation Project, cost $575 million before ft was finally abandoned....

Q:

Determine if the overhead allocated to the product relates to a single plantwide overhead rate method, multiple production department factory overhead rate method, or activity-based costing...

Q:

11. An experiment to compare the spreading rates of five different brands of yellow interior latex paint available in a particular area used 4 gallons (J 4) of each paint. The sample average...

Q:

16. Reconsider the axial stiffness data given in Exercise 7. ANOVA output from MINITAB follows: Analysis of Variance for stiffness Source DF SS MS F P length 4 43993 10998 10.48 0.000 Error 30 31475...

Q:

113. Let R1 be a rejection region with signi cance level a for testingH01: u1 versusHa1: u 1, and let R2 be a level a rejection region for testing H02: u 2 versus Ha2: u 2, where 1 and 2 are two...