What share of the other business deductions belong to each business?

Deductions such as the deductible portion of the tax on self-employment income, the self-employed health insurance deduction, and the deduction for contributions to qualified retirement plans are considered attributable to a trade or business to the extent that the individual's gross income from the trade or business is taken into account in calculating the allowable deduction, on a proportionate basis.

For Example: You own 3 businesses A, B, and C, with the following gross incomes for each business:

• Business A - $1,000
• Business B -$2,000
• Business C -$2,000
• Total Income - $5,000

When calculating Business A's share of the deductible portion of self-employment tax, 1/5 of the deduction would belong to Business A. Businesses B and C would each have a share of 2/5.

See the instructions for Form 8995-A  or Form 8995  for more information.