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C is a 40% shareholder in CAS, Inc., an S corporation that operates several restaurants under a franchise name. In the current year, Cs share

C is a 40% shareholder in CAS, Inc., an S corporation that operates several restaurants under a franchise name. In the current year, Cs share of the income from CAS is $200,000. Cs share of the CAS W-2 wages for the year is $60,000. Cs taxable income before the QBI deduction is $300,000. C is single. What is Cs QBI deduction for the year?

a. $0

b. $40,000

c. $30,000

d. $60,000

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