I:17-50 Guaranteed Payments and Qualified Business Income Deduction. Laura and Mark are equal partners in the LM Partnership. Laura receives a $35,000 guaranteed payment in the current year and also withdraws $15,000 of her partnership capital in cash. Partnership ordinary income is $100,000 after deducting the guaranteed payments for the current year.

Assume that Laura is single and has salary income from other sources such that her marginal tax rate is 24%. Also assume that, because she has other income, 20% of qualified business income will be less than 20% of excess taxable income.

a. What amount must Laura include in her gross income, and what is her taxable amount and after-tax income for the current year taking into account the qualified business income deduction?

b. How would your answer change if Laura did not receive the guaranteed payment?