Question: Hello, can someone explain how these two correct answers were calculated of $30,000 and $31,740? Thanks Problem 2-35 (LO. 3, 4) Susan, a single taxpayer,

Hello, can someone explain how these two correct answers were calculated of $30,000 and $31,740? Thanks

Hello, can someone explain how these two correct answers were calculated of

Problem 2-35 (LO. 3, 4) Susan, a single taxpayer, owns and operates a bakery (as a sole proprietorship). The business is not a "specified services" business. In 2019, the business pays $60,000 of W-2 wages and generates $200,000 of qualified business income. Susan also has a part-time job earning wages of $11,000 and receives $3,200 of interest income. Assume the QBI amount is net of the self-employment tax deduction. What is Susan's tentative QBI based on the W-2 Wages/Capital Investment Limit? $ 30,000 Determine Susan's allowable QBI deduction. $ 31,740

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!