bobs
Level 1
 
0 Cheers
TaxMonkey
Level 8

You are saying a $1k difference in income made a $7k difference in tax?  Nope that doesn't really make sense.

View solution in original post

0 Cheers
Just-Lisa-Now-
Level 15
Level 15
I think they mean, increasing income by $1,000 created $7000 more taxable income due to the QBI previously computed being disallowed/reduced.

I honestly don't have any clients with enough income for any of the QBI phaseouts to come into play, so I'm not familiar enough with the scenario to know if that's possible or not.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
0 Cheers
bobs
Level 1
That is correct
0 Cheers