I used a calculator https://proconnect.intuit.com/tax-reform/entity-selection-calculator/ to see QBI deduction S-corp but it looks like it ignores income limits of $164,900 ($329,800 if married filing jointly), to claim the full 20% deduction.
For example, if my status is married filing jointly and "Business activity income before wages" is $300,000 where "Taxpayer W2 wages from business activity " is $100,000 then calculator gives "Less: QBI Deduction" as $-40,000.
It looks okay because it is under income limits. But if I put "Business activity income before wages" as $900,000 and " Taxpayer W2 wages from business activity" as 400,000 then it gives "Less: QBI Deduction" as $-100,000. It is very strange because I put the number well above the income limit ($329,800).
Also I can put any number into "Taxpayer other taxable income" e.g. $500,000 and still see "Less: QBI Deduction" as $-100,000 for example above.
Is it just a calculator error, or does QBI Deduction not have income limits for LLC S-corp?
Not SSTB
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