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What is wrong with part (c)? Scott and Laura are married and will file a joint tax return. Laura has a sole proprietorship (not a

What is wrong with part (c)?

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Scott and Laura are married and will file a joint tax return. Laura has a sole proprietorship (not a "specified services" business) that generates qualified business income of $300,000. The proprietorship pays W2 wages of $40,000 and holds property with an unadjusted basis of $10,000. Scott is employed by a local school district. Their taxable income before the QBI deduction is $400,100 (this is also their modified taxable income). Click here to access the 2022 individual tax rate schedule to use for this problem. Assume the QBI amount is net of the self-employment tax deduction. a. Scott and Laura's QBI deduction is $, taxable income is $, and tax liability is for 2022. Feedback Check My Work There are three limitations on the QBI deduction: an overall limitation (based on modified taxable income), another that applies to highincome taxpayers, and a third that applies to certain types of services businesses. The second and third limitations only apply when taxab income before the QBI deduction exceeds $340,100 (married taxpayers filing a joint return) or $170,050 (single and head-of-household taxpayers). Once these thresholds are reached, 199A imposes two independent limitations. b. After providing you the original information in the problem, Scott finds out that he will be receiving a $6,000 bonus in December 2022 (increasing their taxable income before the QBI deduction by this amount). Redetermine Scott and Laura's QBI deduction, taxable income, and tax liability for 2022. Scott and Laura's QBI deduction is $, taxable income is $, and tax liability is $ for 2022. Feedback Check My Work Correct c. What is the marginal tax rate on Scott's bonus? Round your answer to one decimal place. X %

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