Question
In 2021, Henry Jones (Social Security number 123-45-6789) works as a freelance driver, finding customers using various platforms like Uber and Grubhub. He is single
In 2021, Henry Jones (Social Security number 123-45-6789) works as a freelance driver, finding customers using various platforms like Uber and Grubhub. He is single and has no other sources of income. In 2021, Henry's qualified business income from driving is $78,400. Assume Henry takes the standard deduction of $12,550.
Click here to access the 2021 individual tax rate schedule to use for this problem.
Question Content Area
Assume the QBI amount is net of the self-employment tax deduction.
a. Compute Henry's QBI deduction and his tax liability for 2021.
QBI deduction: $___________? Tax liability (round to the nearest dollar): $__________?
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