Anyone familiar with all the qualified business deduction jargon?

[taxu2]

If someone mows lawns on the side do they qualify? Do you have to have employees?

[abctax55 · Accepted solution]

IF the lawn mowing rises to the level of a trade or business (and YOU have to make that call, based on your professional knowledge and expertise), then QBID is on the table.

One CANNOT be one's "own employee" unless incorporated (seems a wee bit unlikely that a side business mowing lawns would be incorporated).

Wages & UBIA only come into play when certain taxable income limits are hit.

[abctax55]

"...Anyone familiar"?

I am, because I've done about 40 hours of CPE regarding QBID.

Are you talking about a teenager?

[taxu2]

No. 40 y/o has full time job. Does mowing as a side business. He is his only employee.

[abctax55]

"...He is his only employee"
What exactly does THAT mean????

[taxu2]

Just saying no one helps him with his business. Didn't know if you had to have employees to qualify for this.

[abctax55]

Hasn't your CPE on this topic explained the W-2 component?  You have taken a few classes, right?

[taxiowa]

Wow!  abctax is a little hostile tonight.  Give the guy a break.

[abctax55]

I'm not hostile.  Actually, I'm just really tired of *tax professionals* who do NOT do CPE & expect this forum to have their backs.  I'm attempting to teach folks how to fish instead of just spoon feeding them.  I DID give taxu2 the requisite info (see below) after attempting to make him/her actually think a bit.

[IRonMaN]

But if you try teaching people to fish around here, all you end up with is a lutefisk dinner :yum:

[abctax55]

yummmmmmm

[taxu2]

So because I asked a question it's assumed I did not complete any CPE. Interesting. How many questions have you asked? Someone who answers questions with questions really isn't too polished on the material anyway in my book. Hopefully this *tax professional* can find some help.

[abctax55]

Yet I did answer your question, adequately.   You're welcome.  If your CPE didn't answer your question, then you should consider a different provider.  CPAacademy does a lot of webinars.

[IRonMaN]

Anna - so how is your Sunday going so far?  :wink:

[abctax55]

Fine....but my tolerance for BS is low.
I may take a week or so off - or just frequent the PROFESSIONAL forums I belong to.

[IRonMaN]

But I'm not on those other forums -------------------- you would miss me :smile:

[abctax55]

We will always have email