The domestic production activities deduction (DPAD)for 2010 cannot exceed 50% of all W-2 wages paid to employees engaged in qualified domestic production activities by the taxpayer during the tax year.

Question

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This statement is true. The DPAD cannot exceed 50% of all W-2 wages paid to employees engaged in qualified domestic production activities by the taxpayer during the tax year.

The Domestic Production Activities Deduction (DPAD)for 2010 Cannot Exceed 50