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htown
Returning Member

QBI Eligibility for Regular Market Research Income

Is regular income (e.g., monthly but varying amounts) from market research activities (e.g., Nielsen) eligible for QBI?

 

If it weren't regular income, I would say no, but the regularity and longer term nature (goes back to 2018 and is expected to continue indefinitely) makes this less clear to me.  I think the "profit" part of the QBI eligibility is met, but it could be construed as a "passive" activity which I believe is frowned upon by the IRS.

 

Thanks in advance for any provided guidance.

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1 Reply
DavidS127
Expert Alumni

QBI Eligibility for Regular Market Research Income

If the income is reported on a Schedule C as self-employment income, it is QBI.

 

When you indicate the income is QBI, you'll also be asked if it is a "specified services trade or business" (SSTB).  That only makes a difference if your total taxable income is more than $160,700 ($321,400 for a joint tax return).  If you consider yourself a "consultant" your self-employed business may be an SSTB.

 

See the IRS web page at this link for more the FAQs for QBI.

 

 

 

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