An individual in a specified service business, such as accounting, with taxable income over the threshold amounts ($210,700, or $421,400 if married filing jointly in 2019), will not lose the QBI deduction on such income if:
A) Taxable income exceeds the thresholds due to income of a spouse.
B) Taxable income did not exceed the thresholds in the prior three years.
C) Taxable income exceeds the thresholds because of net capital gain income.
D) None of these.

Question

Quizplus · Accepted Answer

The QBI deduction for specified service businesses phases out for individuals with taxable incomes above certain thresholds. None of the provided options would allow an individual to retain the QBI deduction if their taxable income exceeds these thresholds.

An Individual in a Specified Service Business, Such as Accounting