One major provision of the law known as the Tax Cuts and Jobs Act (TCJA), is a new tax deduction for passthrough entities (S corporations, partnerships, and sole proprietorships). The deduction generally provides owners, shareholders, or partners a 20% deduction on their personal tax returns on their qualified business income (QBI). Various limitations apply based on the type of business operated and the amount of income the business has. Under the new rules, this deduction does not apply to certain enumerated SSTBs if the taxpayer’s taxable income is above certain threshold amounts. The threshold amounts are $315,000 for taxpayers filing jointly and $157,500 for all other taxpayers, with a deduction phaseout range, or limitation phase-in range, of $100,000 and $50,000, respectively, above these amounts. SSTBs are broken into two distinct categories: 1. Trades or businesses performing services in the fields of health, law, accounting, actuarial science, performing arts, consulting, athletics, financial services, brokerage services, or any trade or business where the principal asset of that trade or business is the reputation or skill of one or more of its employees, however, the TCJA specifically excluded engineering and architecture; or 2. Any trade or business that involves the performance of services that consist of investing and investment management, trading, or dealing in securities, partnership interests, or commodities. Before continuing this discussion, two points need to be made clear. First, if taxpayers are below the threshold amounts, they are eligible for the 20% deduction regardless of whether their business is an SSTB. Second, the SSTB classification applies to the business regardless of whether the taxpayer is actively or passively involved in it. To sum up the reputation and skill provision, it targets celebrities and public figures who make their living in the public eye. This was a welcome relief for many taxpayers, as it was uncertain how expansive this definition would be