Jackson, who is single, is a farmer and files Schedule F. For2021 he had a net profit from the farm of $96,550 (after factoring the self-employment adjustments to his income). He has no loss to carry forward from prior years. Jacksons taxable income, before applying QBI deduction, is $147,966. What is Jacksons QBI deduction?

1. 0, he is not eligible

2. $10,283; 20% of the difference between taxable income and his farm profit.

3. $19,310; 20% of farm profit

4. $29,593; 20% of his taxable income