A qualified trade or business is one that includes, most self-employed taxpayers and small business owners. It allows them to exclude up to 20% of their qualified business income from federal income tax (but not self-employment tax) whether they itemize or not.
Yes, as a self-employed individual you are a qualified trade or business and may be able to claim the Qualified Business Income deduction (also called the QBI)
Not knowing the specifics of your business as a Gerontologist, but being familiar with the general nature of individuals in your line of work, it would seem that your business is most probably classified as an SSTB. For clarification, businesses that are classified as Specified Service Trade or Business (SSTB) include the following:
For more information please see the following TurboTax FAQ
A qualified trade or business is one that includes, most self-employed taxpayers and small business owners. It allows them to exclude up to 20% of their qualified business income from federal income tax (but not self-employment tax) whether they itemize or not.
Yes, as a self-employed individual you are a qualified trade or business and may be able to claim the Qualified Business Income deduction (also called the QBI)
Not knowing the specifics of your business as a Gerontologist, but being familiar with the general nature of individuals in your line of work, it would seem that your business is most probably classified as an SSTB. For clarification, businesses that are classified as Specified Service Trade or Business (SSTB) include the following:
For more information please see the following TurboTax FAQ
I get some QBI deduction for 2020 as a result of REIT income. However, I am also self-employed and file a Schedule C with net income of about $6000. It's not an SSB enterprise; I'm a free-lance writer. Yet my Schedule C income does not translate to form 8995 or 8995A.
Yet my taxable income is over the minimum amount ($163K or thereabouts) yet under the maximum amount permitted. No "data source" is shown for these entries. Why doesn't the software make this happen? I now see that the same thing applies to my 2019 tax return, so I should be filing an amended return for that year. (For 2019, TurboTax filled out a form 8995.)
I can over-ride the blank, of course, but that means I must file by mail.
Please help!