43. 2 (LO) Business income $70,000 Business expenses (75.000) Net business income ($ 5,000) Interest income 3,000 Alimony paid (11.000) AGI ($13,000) Less: Standard deduction (greater than itemized deductions) (12,000) Deduction for qualified business income* Taxable income ($25.000) *Sam has no qualified business income in 2018. His business generated a loss of $5,000, and this loss will carry forward to future years and will reduce any qualified business income in those years b. Taxable income (S25,000) Add: Excess of nonbusiness deductions over nonbusiness income [($11,000+ $12,000) - $3,000] 20.000 NOL (S 5,000) 43. 2 (LO) Business income $70,000 Business expenses (75.000) Net business income ($ 5,000) Interest income 3,000 Alimony paid (11.000) AGI ($13,000) Less: Standard deduction (greater than itemized deductions) (12,000) Deduction for qualified business income* Taxable income ($25.000) *Sam has no qualified business income in 2018. His business generated a loss of $5,000, and this loss will carry forward to future years and will reduce any qualified business income in those years b. Taxable income (S25,000) Add: Excess of nonbusiness deductions over nonbusiness income [($11,000+ $12,000) - $3,000] 20.000 NOL (S 5,000)