In 2018, I will file for income tax with taxable income under $315,000 jointly. Do I still need to calculate if I am come under SSTB to become eligible for the deduction? Is there any restriction on my deduction?
Date of Posting : June 22, 2020
No, if your 2018 taxable income is less than $315,000 and you are filing your taxes jointly, you are eligible for deduction irrespective of your business type. You will qualify for deduction lesser of:
20% of your Qualified Business Income and 20 % of your qualified REIT dividends and qualified PTP income, or
20% of your taxable income subtracting net capital gains.