1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
DaniilM [7]
3 years ago
10

Shelly has $200,000 of QBI from her local jewelry store (a sole proprietorship). Shelly's proprietorship paid $30,000 in W–2 wag

es and has $20,000 of qualified property. Shelly's spouse earned $74,400 of wages as an employee, they earned $20,000 of interest income during the year, and they will be filing jointly and using the standard deduction.What is their QBI deduction for 2018?
Business
1 answer:
natka813 [3]3 years ago
5 0

Answer:

Qualified Business Income (QBI) Deduction:

With respect to the applicable provisions, the following are the provisions relating to QBI deduction:

(a) For Joint filers, if the taxable income is less than $315,000, the QBI deduction is limited to 20% of the qualified business income.

(b) The qualified business income includes the interest income not allocable to the business.

In the present case, the interest amount of $20,000 will not be considered for the calculation of QBI deduction (refer point (b) above).

Therefore, the total taxable income of S and her spouse will be $274,400 ($200,000 + $74,400) which was below the threshold limit of $315,000. Hence, they can claim the QBI deduction of 20% on the qualified business income of $200,000. The QBI deduction for 2018 is calculated as under:

QBI Deduction for 2018 = QBI x 20%

= $200,000 x 20%

= $40,000

Therefore, the QBI deduction for 2018 is $40,000.

Note: If the total taxable income exceeds the threshold limit of $315,000 for QBI deduction, the value of W-2 wages and qualified property would have been considered.

You might be interested in
A can be cut from chickens, pheasants,
kolezko [41]
Can you give a better explanation


5 0
3 years ago
What is a stock dividend? and im not sure how to calcuate the monthly payment.
maksim [4K]

Answer:

Marie est allee chez le medecin

3 0
3 years ago
Functions of Money Jeffrey has had a busy day. Today he went to a financial manager to begin planning for his son's future. He o
Novosadov [1.4K]

Answer:

Store of value.

Explanation:

In economics or financial accounting, money can be defined as any asset used by an individual or business entity to make purchases of goods and services at a specific period of time.

Simply stated, money refers to any asset which can be used to purchase goods and services by customers.

This ultimately implies that, money is any recognized economic unit that is generally accepted as a medium of exchange for goods and services, as well as repayment of debts such as loans, taxes across the world.

The three (3) main functions of money all over the world are;

I. Medium of exchange.

II. Unit of account.

III. Store of value.

In this scenario, Jeffrey went to a financial manager to begin planning for his son's future by opening a college savings account. Thus, this is is an example of a store of value because the purchasing power was transferred from the present to the future.

In conclusion, money being a store of value makes it possible to transfer purchasing power between traders and buyers from the present to the future.

5 0
3 years ago
“knowledge of the job processes, methods, tools and techniques” is which managerial skill?
notsponge [240]

<span>Knowledge of the different job processes, methods, tools and techniques belong to the Technical Managerial Skill. Skills management refers to the proper training of understanding, developing and organizing individuals and their abilities. Well-managed skills management ought to recognize the abilities that profession roles necessitate, the abilities of singular workers, and a little fissure amongst the two.</span>

6 0
3 years ago
Bren Company sold a car for $17,100. The cost of the car was $37,000 and the depreciation expense was recorded at 10% for five a
fomenos

The loss on the disposal of the car is $-16,200.

The first step is to determine the total depreciation on the car.

Depreciation expense = percentage depreciation x cost of the asset

$37,000 x 0.1 = $3700

The second step is to determine the book value of the car = cost of the car - depreciation

$37,000 - $3700 = $33,300.

The book value is greater than the selling price of the car, so there was a loss on the sale. The third step is to determine the gain on the sale.

Loss = $17,100 - $33,300  = $-16,200

A similar question was answered here: brainly.com/question/24357323

3 0
2 years ago
Other questions:
  • Costs that do not change with output are called __________ costs A. average B. variable C. marginal D. fixed
    5·1 answer
  • A company manufactures three​ products, A,​ B, and C from a single raw material input. Product C can be sold at the split off po
    8·1 answer
  • The nominal exchange rate is the a rate at which a person can trade the currency of one country for the currency of another. b t
    13·1 answer
  • If Good C increases in price by 30% a pound, and this causes the quantity demanded for Good D to increase by 40%, what is the cr
    12·1 answer
  • Which of the following government agencies estimates and compiles the U.S. GDP accounts? Multiple Choice the Bureau of Economic
    11·1 answer
  • Alexandra owns stock in a corporation, and she just received 100 additional shares of stock as part of the corporation’s distrib
    14·1 answer
  • Which of the following is an unethical behavior for a salesperson?
    15·2 answers
  • Presented below is the trial balance of Pina Corporation at December 31, 2017. Debit CreditCash $ 198,550Sales $ 8,103,580Debt I
    9·1 answer
  • If an organization implemented only one policy, which one would it want to implement?
    9·1 answer
  • On Wednesday, your boss asks you if you'd be willing to work an
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!