The deduction for self-employment taxes in 2016 is deductible as an above-the-line deduction at a rate of 7.65% based on the employer's portion of the taxes.

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The deduction for self-employment taxes in 2016 is indeed deductible as an above-the-line deduction at a rate of 7.65% based on the employer's portion of the taxes. This deduction is available to self-employed individuals who are responsible for paying both the employee and employer portion of Social Security and Medicare taxes. By deducting the employer portion, self-employed individuals can reduce their taxable income and ultimately pay less in taxes.

The Deduction for Self-Employment Taxes in 2016 Is Deductible as an Above-The-Line