Recommendations

Rule-traceable recommendation dossiers

REC-QBI-WAGE-MIX

Rebalance compensation and entity distributions to preserve QBI efficiency

The current profile indicates that entity compensation design is directly influencing how much qualified business income survives the wage-and-basis limitations. The platform treats this as a deterministic planning question: first verify the taxpayer's entity type and wages, then test the result against the exact 199A rule version in force for the tax year, and only then explain the practical options in plain English.

Trigger fact

Entity classified as an S corporation with owner compensation below modeled planning range.

Trigger rule

RULE-QBI-2025-US

Confidence

86%

Risk flags

Requires payroll timing disciplineSSTB threshold monitoring required

Legal and form citations

  • • IRC §199A
  • • Form 8995-A instructions
  • • Version 2025.2.0 rule trace

Required records checklist

  • • Payroll registers and officer compensation support
  • • Year-to-date general ledger by entity
  • • Basis support and fixed-asset rollforward