QBI Deduction

Definition

Qualified Business Income deduction allowing eligible self-employed to deduct up to 20% of qualified business income.

Related Terms

Schedule C

IRS form for reporting income and expenses from sole proprietorship or self-employment on your personal tax return.

FAQs

Do gig workers qualify?

Generally yes, if under income thresholds.

How much can I deduct?

Up to 20% of qualified business income.

Similar Terms

1099 Form

IRS tax form reporting income paid to non-employees, commonly 1099-NEC for contractor pay or 1099-K for payment platforms.

1099-K

Tax form reporting payments from payment networks like PayPal or gig platforms when exceeding annual thresholds.

1099-NEC

Tax form for non-employee compensation of $600 or more, replacing Box 7 of the old 1099-MISC for contractor payments.

Self-Employment Tax

Social Security and Medicare taxes for self-employed individuals, totaling 15.3% on net earnings.

Fact-Checked Expert Reviewed Regularly Updated

Last updated: January 18, 2026

Reviewed by GigFinance Team, Gig Economy & Finance Experts

Our Editorial Standards

How We Research & Review

Our team includes CPAs, former gig workers, and financial experts who personally test platforms and verify earnings claims. We follow strict editorial guidelines to ensure accuracy and objectivity.

Real gig worker testing Verified earnings data Tax expert review

Important Disclaimer: This content is for informational purposes only and should not be considered tax, legal, or financial advice. Consult a qualified professional (CPA, tax attorney, or financial advisor) for advice specific to your situation.

In This Article