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Topic subjectthey put in provisions to prevent this
Topic URLhttp://board.okayplayer.com/okp.php?az=show_topic&forum=4&topic_id=13217184&mesg_id=13217417
13217417, they put in provisions to prevent this
Posted by akon, Mon Dec-04-17 01:46 PM
i was looking to do this, since i earn $$ from consultanies
but they are basically saying entities where owners work for themselves will not be eligible for the pass-through business income
but those in which one invests in but does not actively participate in, are (its so ridiculous- most small business owners work for their business.)
they basically saw what happened under the failed Kansas experiment and drew the exact wrong conclusions.

"Under the Republican plan, certain kinds of pass-through business income would be taxed at rates no higher than 25%. But to prevent abuse — for example, incorporating myself as Josh Barro LLC and selling "professional services" to Business Insider instead of taking a salary — there would be rules setting out what's real business income and what's labor income made to look like business income.

Whatever is deemed to be labor income would be taxed at rates up to 39.6%, as under current law.


http://www.businessinsider.com/gop-tax-plan-biggest-problem-small-business-details-2017-11