Do you qualify for the largest incentive included in the Tax Cuts and Jobs Creation act?

The filing season has now started for the first year under the new tax regime created by the Tax Cuts & Jobs Act. Corporate tax rates have been slashed from a maximum of 35% to a flat 21%.  

To put small businesses on an even playing field, a 20% deduction was added for businesses operated as S Corps, partnerships, or sole proprietors. However, there are many limitations and qualifications that you must go through before taking the deduction. Below is a flowchart to assist you in that decision.

RM_Flow Chart QBI-1

 

Check with your Tax Advisor with any questions, or click the button below and we'll be glad to assist you!

 

I have questions about Qualified Business Income (QBI)  and would like to speak to a CPA.

Tagged TaxCutsAndJobsAct, Tax Reform, Tax