Section 199A Proposed Regulations Released
August 8, 2018
Today the IRS issued proposed regulations for Section 199A, Qualified Business Income deduction. This comes as good news to the many CSEA members who have been asking the IRS for some guidance on this issue. In addition, the IRS also released Notice 2018-64, which provides guidance on calculating W-2 withholding as it pertains to the limitations on this deduction.
Specifically, the 184 page document
details the following: how to take this deduction, its limitations regarding the treatment of losses, and the definitions of the qualified trades and businesses. It also provides guidance on some general rules, aggregation methods, and anti-abuse stipulations.
For more information visit the IRS FAQ resource page
The new proposed regulations are current and reliable for taxpayers but only until the final regulations are published in the Federal Register.
CSEA will provide more details as they become available.