Tax Law Changes

Deduction for Qualified Business Income

Qualified Business Income Deduction (QBID) made permanent. Beginning in 2026, if taxpayers have a minimum of $1,000 in total qualified business income from an active trade or business, a taxpayer may be able to claim a minimum QBID of $400.

For the 2026 tax year, the QBI phase-out income ranges are $201,750 to $276,750 for single filers and $403,500 to $553,500 for married couples filing jointly.