Professional services and the new pass-through deduction: Does your firm qualify?

Description

Abstract: The recently enacted Tax Cuts and Jobs Act (TCJA) added Section 199A to the tax code, providing a new 20% deduction for owners of “pass-through entities.” The new tax break is available from 2018 to 2025. This article is an introduction to the deduction and offers guidance on determining which firms qualify. A sidebar provides the definition for a “specified service business.”