An Individual in a Specified Service Business, Such as Accounting

question 63

Multiple Choice

An individual in a specified service business, such as accounting, with taxable income over the threshold amounts ($210,700, or $421,400 if married filing jointly in 2019) , will not lose the QBI deduction on such income if:

• A) Taxable income exceeds the thresholds due to income of a spouse.
• B) Taxable income did not exceed the thresholds in the prior three years.
• C) Taxable income exceeds the thresholds because of net capital gain income.
• D) None of these.

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Definitions:

Whisk Ferns

Primitive, vascular plants belonging to the genus Psilotum, characterized by their simple, whisk-like appearance, lacking true leaves and roots.

Bryophyta

Bryophyta is a division of non-vascular plants that includes mosses, liverworts, and hornworts, characterized by a life cycle dominated by the gametophyte stage.

Club Mosses

Ancient group of non-flowering plants belonging to the division Lycophyta, characterized by their small, scale-like leaves and production of spores.

Pteridophyta

Pteridophyta is a division of non-flowering plants also known as ferns and their allies, characterized by having vascular tissues and reproducing through spores.