Hello
Guest

Sponsored Links


Topic: Qualified Business Income  (Read 227 times)

0 Members and 1 Guest are viewing this topic.

  • *
  • Posts: 11

  • Liked: 0
  • Joined: Jan 2015
Qualified Business Income
« on: May 18, 2019, 01:17:45 PM »
Bit confused as to what constitutes a Qualified Business in order to take the deduction.  As a self- employed marketing consultant running the business in the UK does this qualify?  Also a bit confused as there seem to be limits on income in order to take the deduction?  So guess the question is what are the parameters in order to be able to take this deduction and not clear if you must meet both criteria, i.e. income and what type of business you are doing?


  • *
  • Posts: 81

  • Liked: 3
  • Joined: Jan 2009
Re: Qualified Business Income
« Reply #1 on: May 19, 2019, 04:53:17 AM »
As a self- employed marketing consultant running the business in the UK does this qualify?

No.  Your income would not be “effectively connected income” because it is from services and the services are performed outside the US, making the income foreign source income.  Foreign source income from services is not effectively connected income and it would not be QBI.


  • *
  • Posts: 11

  • Liked: 0
  • Joined: Jan 2015
Re: Qualified Business Income
« Reply #2 on: May 19, 2019, 10:11:13 AM »
Thank you discly.  So even if you have some U.S. customers but you generally perform your work from the U.K. you are disqualified ?  Thanks again.


  • *
  • Posts: 81

  • Liked: 3
  • Joined: Jan 2009
Re: Qualified Business Income
« Reply #3 on: May 19, 2019, 12:25:22 PM »
Correct.  Where your customers are located is not relevant.  What matters is where you perform the services.  You would have to perform the services in the US to get the QBI deduction.


  • *
  • Posts: 11

  • Liked: 0
  • Joined: Jan 2015
Re: Qualified Business Income
« Reply #4 on: May 19, 2019, 12:43:58 PM »
Many thanks. 


Sponsored Links





 

coloured_drab