Your QBI Deduction Results
Tentative QBI Deduction (20% of QBI):
$0
W-2 Wage Limit:
$0
Property Basis Limit:
$0
Taxable Income Limit (20%):
$0
Final QBI Deduction:
$0
Estimated Tax Savings:
$0
How the QBI Deduction Works
The Section 199A Qualified Business Income (QBI) deduction allows eligible taxpayers to deduct up to 20% of their qualified business income. However, several limitations may apply:
- Income Thresholds (2026): $98,650 for single filers, $197,300 for married filing jointly
- SSTB Limitation: Specified Service Trade or Business income may be limited or phased out above thresholds
- W-2 Wage Limitation: May be limited to 50% of W-2 wages paid by the business
- Property Basis Limitation: Alternative limit of 25% of wages plus 2.5% of qualified property basis
- Overall Limitation: Cannot exceed 20% of taxable income minus net capital gain
Disclaimer: This calculator is for educational purposes only. Tax situations can be complex, and this tool may not account for all factors affecting your QBI deduction. Please consult with a qualified tax professional for personalized tax advice.