Rita, a single taxpayer, has net Schedule C income of $150,000 from a specified service trade or business. She does not have any other business income. She also has W-2 income, and her taxable income for the year exceeds $210,699. As Rita's tax preparer, what information will you share with her regarding her eligibility to claim the qualified business income deduction?

Unfortunately, she is not entitled to the deduction on her 2019 return, since her taxable income is over the top threshold.

She qualifies for the deduction, but the amount will be limited based on her income.

She qualifies for the deduction, which will apply to 20% of her taxable income.

She qualifies for the deduction, which will apply to 20% of her net Schedule C income.