Taxpayers Receive Much Needed Guidance on New 20 Percent "Pass-through" Deduction | Bennett Thrasher Skip to main content
On August 8, the United States Department of Treasury and the IRS released the long-awaited and highly anticipated proposed regulations for IRC Code Section 199A, the statute governing the new 20 percent deduction on “qualifying business income” allowed to owners of “pass-through” entities. While lingering questions remain, the proposed regulations include a significant number of interpretive rules, as well as definitional, computational and anti-avoidance guidance. The new rules are generally taxpayer-friendly and may be relied upon until the regulations are finalized. Therefore, it is imperative for taxpayers to understand these rules to ensure that they maximize any potential benefit from this new deduction.

For further details regarding the proposed regulations, click here.

Contact Us

If you have questions about how the pass-through deduction under Section 199A and the recently issued guidance might affect you and your business, please contact your Bennett Thrasher tax advisor by calling 770.396.2200.