Qualified business income deduction in HRB

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Topic Author
Almost there
Posts: 927
Joined: Thu Jan 03, 2008 7:06 pm
Location: Arizona USA

Qualified business income deduction in HRB

Post by Almost there » Fri Feb 14, 2020 6:50 pm

I use HRB, which just updated today, and it now includes the following:

You’re getting the new qualified business income deduction!

Rest estate investment trust (REIT) dividends $87
Total qualified business income $87
Taxable income minus net capital gains $8,875
Your 2019 deduction $17

Now I ran no business, received only Social Security and withdrew funds to satisfy my RMD (Total Bond VBTLX and Total Stock VTSAX). Received dividends form my cash accounts only from Total Stock, Intermediate Term Tax exempt VWIUX and Long Term Tax exempt VWLTX.

Does anyone understand the "new qualified business income deduction"?

Almost there

cas
Posts: 890
Joined: Wed Apr 26, 2017 8:41 am

Re: Qualified business income deduction in HRB

Post by cas » Fri Feb 14, 2020 6:56 pm


Topic Author
Almost there
Posts: 927
Joined: Thu Jan 03, 2008 7:06 pm
Location: Arizona USA

Re: Qualified business income deduction in HRB

Post by Almost there » Fri Feb 14, 2020 7:08 pm

thank you cas.

Topic Author
Almost there
Posts: 927
Joined: Thu Jan 03, 2008 7:06 pm
Location: Arizona USA

Re: Qualified business income deduction in HRB

Post by Almost there » Sat Feb 15, 2020 6:31 pm

I would like a moderator to close my post, since this is already being discussed in another post.

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GerryL
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Re: Qualified business income deduction in HRB

Post by GerryL » Sat Feb 15, 2020 10:07 pm

I just ran into this myself. Too bad I didn't read the post a few hours ago. I had finished my fed taxes and was going online before e-filing. Did the HRB update and saw that my tax hit had gone down by a few dollars. Spent almost an hour reviewing all the forms to see where the info changed -- and then whether it impacted anything on my state forms.

Because of that lost time, I opted to e-file state using the $19.95 HRB option rather than try using my state's free e-file option. So, I ended up spending about 2x what the deduction saved me. But I got some time back.

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