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Jacob is a member of WCC (an LLC taxed as a partnership). Jacob was allocated $55,000...

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Accounting

Jacob is a member of WCC (an LLC taxed as a partnership). Jacobwas allocated $55,000 of business income from WCC for the year.Jacob’s marginal income tax rate is 37 percent. The businessallocation is subject to 2.9 percent of self-employment tax and 0.9percent additional Medicare tax. (Round your intermediatecalculations to the nearest whole dollar amount.)

a. What is the amount of tax Jacob will owe onthe income allocation if the income is not qualified businessincome?

b. What is the amount of tax Jacob will owe onthe income allocation if the income is qualified business income(QBI) and Jacob qualifies for the full QBI deduction?

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