Proposed IRS Regulations

The Qualified Business Income Deduction (QBI Deduction) was one of the many changes included in the tax reform package signed by President Trump in December of 2017. This 20% deduction, which is available to pass-through entity business owners beginning this year, was simple at first glance but appeared to be complex in execution. Once experts began to consider how taxpayers’ returns would look utilizing this deduction, the complexities of the law began to emerge and it became apparent that further guidance would be needed.