Question 1

Which of the following taxpayers is potentially eligible for a qualified business income deduction based on the noted activity? circle all that apply)

Accepted Answer

A)   A shareholder of General Electric.
B)   A sole proprietor operating a restaurant.
C)   A self-employed doctor.
D)   Jennifer, owner of a winery operated as an S corporation.
E)   The Red Cross a charitable organization) .F) D) and E)
G) B) and D)

Question 2

Unless Congress makes a change, the QBI deduction is set to expire after 2025.

Accepted Answer

A) True 
 B)False

Question 3

What is a limited liability company? What favorable nontax and tax attributes does the LLC entity form offer taxpayers?

Accepted Answer

Similar to the corporate entity form, a ...

Question 4

Ashley a single taxpayer) is the owner of ABC, LLC. The LLC a sole proprietorship) reports QBI of $900,000 and is not a specified services business. ABC paid total W-2 wages of $300,000, and the total unadjusted basis of property held by ABC is $30,000. Ashley's taxable income before the QBI deduction is $740,000 this is also her modified taxable income). What is Ashley's QBI deduction for 2019?

Accepted Answer

As Ashley's taxable income before the QB...

Question 5

Qualified business income includes the reasonable compensation paid to the taxpayer by a qualified trade or business and guaranteed payments made to a partner for services rendered.

Accepted Answer

A) True 
 B)False

Exam 2: The Deduction for Qualified Business Income for Pass-Through Entities

What is a limited liability company? What favorable nontax and tax attributes does the LLC entity form offer taxpayers?

Correct Answer
verified
Similar to the corporate entity form, a ...
View Answer

Which of the following taxpayers is potentially eligible for a qualified business income deduction based on the noted activity? circle all that apply)

Correct Answer
verified

Unless Congress makes a change, the QBI deduction is set to expire after 2025.

Correct Answer
verified

Qualified business income includes the reasonable compensation paid to the taxpayer by a qualified trade or business and guaranteed payments made to a partner for services rendered.

Correct Answer
verified

Correct Answer
verified
As Ashley's taxable income before the QB...
View Answer

Exam 2: The Deduction for Qualified Business Income for Pass-Through Entities

What is a limited liability company? What favorable nontax and tax attributes does the LLC entity form offer taxpayers?

Correct AnswerverifiedSimilar to the corporate entity form, a ...View AnswerShow Answer

Which of the following taxpayers is potentially eligible for a qualified business income deduction based on the noted activity? circle all that apply)

Correct AnswerverifiedShow Answer

Unless Congress makes a change, the QBI deduction is set to expire after 2025.

Correct AnswerverifiedShow Answer

Qualified business income includes the reasonable compensation paid to the taxpayer by a qualified trade or business and guaranteed payments made to a partner for services rendered.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedAs Ashley's taxable income before the QB...View AnswerShow Answer

Correct Answer
verified
Similar to the corporate entity form, a ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
As Ashley's taxable income before the QB...
View Answer