My recollection is all these Trump sole proprietor tax cuts specifically don’t apply to someone like a consultant/contractor. There’s something in the law about people who are primarily selling “their own expertise.” Am I wrong on that?
> Therefore, self employed IT professionals such as programmers and software engineers will be eligible to take the deduction. However, they will still have to contend with some limits to the deduction that apply over certain income levels. For higher income IT professionals, it may be beneficial to operate as an S Corp and pay yourself wages to enable you to qualify for the QBI deduction.
SEE: http://kbfinancialadvisors.com/making-the-switch-from-employ...
> Under the law, most trades or businesses are “qualifying” businesses. However, for certain types of businesses, referred to as “specified businesses,” the deduction is only available to a more limited extent. “Specified businesses” include (among others) any trade or business involving the performance of services in the fields of health, law, accounting, actuarial science, performing arts, consulting, athletics, financial services, brokerage services, and “any trade or business where the principal asset of such trade or business is the reputation or skill of one or more of its employees.” In particular, there had been considerable concern that the IRS might view the “skill or reputation” clause broadly.
> The proposed regulations, however, take the approach that the “skill or reputation” clause is meant to refer to a “narrow set of businesses,” and generally limits it to people such as reality TV stars, media hosts, and professional gamers, as well as celebrities making money off of product or likeness endorsements.
https://www.mbopartners.com/blog/contracts-finance/section-1...