IRS Will Not Allow § 199A Deduction on Substitute for Return

Per an internal IRS memorandum prepared within the IRS SB/SE division (link to memo), the IRS has determined that it will not allow a § 199A deduction when it prepares a substitute for return (“SFR”). [mfn] SBSE-04-1219-0054 Guidance for the qualified business income deduction on a substitute for return (12/9/2019) available at https://www.irs.gov/pub/foia/ig/sbse/sbse-04-1219-0054.pdf.[/mfn] Under §…