Businesses or trades involved in the following service fields are considered a specified service trade or business for the purposes of claiming the QBI deduction:

• Health
• Law
• Accounting
• Actuarial science
• Performing arts
• Consulting
• Athletics
• Financial services
• Brokerage services
• Investing and investment management
• Trading or dealing in securities
• Partnership interests
• Commodities

The IRS also identifies “any trade or business … [wherein] the principal asset is the reputation or skill of one or more of its employees or owners” as an SSTB in the instructions for Form 8995, Qualified Business Income Deduction Simplified Computation.

A taxpayer receiving income from an SSTB may claim all or a portion of QBI if that income is below the taxable income threshold or falls within the SSTB phase-in threshold range.

Return to Taxing Subjects frequently asked questions.

Related FAQs:

• What is the Qualified Business Income Deduction?
• What types of business income qualify for the QBI deduction?
• How is QBI determined?
• What is the taxable income QBI threshold for 2020?
• What is the taxable income QBI threshold for 2019?
• What is the taxable income QBI threshold for 2018?
• What is the QBI rental real estate safe harbor rule?