1) Harold and Kumor are married and own a clothing boutique that is operated as partnership. In 2021, their taxable income before the QBI deduction (modified taxable income) is $790,000. They have $900,000 in QBI from the clothing boutique. They paid $300,000 in W-2 Wages and their unadjusted basis of qualified property is $200,000. What is Harold and Kumor's taxable income for 2021?

2) In 2021, James contributes a building to Keen Corporation in exchange for common stock. James's basis in the building is $400,000 and the FMV is $600,000. The common stock James received is worth $700,000. James owns 60% of the voting stock and 90% of the non-voting stock after the exchange. What is James's taxable gain in 2021?