Alyssa's 2022 taxable income exceeds $170,050 and thus she is required to phase out her QBI deduction. What is the phase-out calculation? a. The greater of 50 percent of business wages or 25 percent of wages plus 2.5 percent of the unadjusted basis of qualifying property b. 50 percent of taxable income without the QBI deduction c. The lesser of 50 percent of business wages or 25 percent of wages plus 2.5 percent of

CONCEPTS IN FED.TAX.,2020-W/ACCESS
20th Edition
ISBN:9780357110362
Author:Murphy
Publisher:Murphy
Chapter1: Federal Income Taxation—an Overview
Section: Chapter Questions
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Alyssa's 2022 taxable income exceeds $170,050 and thus she is required to phase out her QBI deduction. What is the phase-out
calculation? a. The greater of 50 percent of business wages or 25 percent of wages plus 2.5 percent of the unadjusted basis of
qualifying property b. 50 percent of taxable income without the QBI deduction c. The lesser of 50 percent of business wages or 25
percent of wages plus 2.5 percent of
Transcribed Image Text:Alyssa's 2022 taxable income exceeds $170,050 and thus she is required to phase out her QBI deduction. What is the phase-out calculation? a. The greater of 50 percent of business wages or 25 percent of wages plus 2.5 percent of the unadjusted basis of qualifying property b. 50 percent of taxable income without the QBI deduction c. The lesser of 50 percent of business wages or 25 percent of wages plus 2.5 percent of
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