It is April 30, 2026. While the OBBBA made some provisions permanent, the Section 199A (Qualified Business Income) deduction is officially entering its final full year. LLC owners must act now to maximize this 20% tax break before it’s gone.
- The Strategy: Accelerating income into 2026 to ensure it qualifies for the full 20% deduction before the potential 2027 sunset.
- The Alternative: Evaluating a shift to a C-Corp structure if the QBI deduction is not renewed by Congress this winter.
- The Shark Insight: “The 20% QBI is the single best gift the IRS ever gave LLCs. If you aren’t maximizing your ‘Reasonable Compensation’ to balance your QBI today, you are leaving free money on the table for 2027.”