How to Find Your Section 199A Deduction with Multiple Businesses

Tax Saving Tips

If at all possible, you want to qualify for the 20 percent tax deduction offered by new tax code Section 199A to proprietorships, partnerships, and S corporations (pass-through entities).
Basic Rules—Below the Threshold
If your taxable income is equal to or below the threshold of $315,000 (married, filing jointly) or $157,500 (single), follow the three steps below to determine your Section 199A tax deduction with multiple businesses or activities.
Step 1. Determine your qualified business income 20 percent deduction amount for each trade or business separately.
Tax-Saving Tips
Step 2. Add together the amounts from Step 1, and also add 20 percent of