How to take advantage of new tax rules and 20% deduction on pass through income

[Christina-and-Matt0]

Has anyone figured out the best way to take advantage of the new tax rules that permit a 20% deduction on pass through income? I’m wondering if setting up an LLC will facilitate this deduction for my Airbnb income. 

[Raf3]

It will. The question is do you want to be taxed as a sole proprietor and still be on the hook for self employment tax or be an LLC taxed as a corporation and elect S (S-corp status). Of course, you could setup a corporation and elect S too. Check out my page for more tax tips.