What is their QBI deduction for the current year?
Chapter9: Deductions: Employee And Self- Employed-related Expenses
Section: Chapter Questions
Problem 43P
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Alice and Bob, married filing jointly, own AB, LLC (which they tax as a partnership). The LLC is a specified service business and has QBI of $800,000 after all applicable deductions. AB paid total W-2 wages of $300,000, and the total unadjusted basis of property held by ABC is $4,000,000. Their taxable income before the QBI deduction is $1,000,000. What is their QBI deduction for the current year?
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