PolicyEngine / PolicyEngine/policyengine-taxsim

scorp income

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#943 1 comment 0 reactions 0 assignees View on GitHub

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Dominant language
Python
Stars
17
Forks
10
Avg merge
15h 55m
Merged PRs (30d)
1

Description

It apears that scorp income is taxed as material participation but insufficient capital and payroll to escape phaseout of QBID. Is this right? We do need to look at all the pass-through variables as a group at some point. Still no sign of a tax lawyer to help us out?

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Research direction

No file, test, or entry point is named. Start by reproducing the scorp-income case in the PolicyEngine US federal and state tax calculator, then verify how material participation, capital, payroll, QBID phaseout, and other pass-through variables are grouped. Done means establishing whether the tax treatment is correct and documenting or fixing the result.

Written by the indexing model from the issue text.

Assessment

Tech stack
python
Domain
fintech-quant
Issue type
Bug
Difficulty
5/5
Estimated time
Over a week
Activity status
Quiet
Clarity
Needs clarification
Newbie friendliness
25/100

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