Answer:
$80,000
Step-by-step explanation:
The deduction of Qualified business income may be limited by the amount of W-2 wages paid by the qualified trade or business and the unadjusted basis in qualified property immediately after acquisition (UBIA) of the qualified property held by the trade or business.
Hence, the deduction will be out of the lesser of the three below:
i. W-2 wages is $100,000
ii. 20% of qualified business income = 20% * 400,000 = $80,000
iii. 20% of taxable income = 20% * 500,000 = $100,000
From the information above, $80,000 will be the amount of Campbell deduction for qualified business income