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Which of the Following Is True Regarding the Qualified Production

Question 72

Multiple Choice

Which of the following is true regarding the Qualified Production Activities Deduction (QPAD) ?
I.The QPAD deduction is limited to 9% of the lessor of taxable income before the QPAD deduction or qualified production activities income
II.The QPAD deduction cannot exceed 50% of W-2 wages allocated to QPAD activities.


A) Only statement I is correct.
B) Only statement II is correct.
C) Both statements are correct.
D) Neither statement is correct.

Correct Answer:

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