The original law passed last December defined what constituted a specified service trade or business (SSTB) by mirroring Section 1202(e)(3). Included in that definition was Section 1202(e)(3)(b) which included any banking, insurance, financing, leasing, investing, or similar business. It never explained what "insurance" was. Insurance companies? Insurance agencies?
The recently-released Proposed Regulation 1.199A-5(b)(2)(x) provides:
"Meaning of services performed in the field of brokerage services. For purposes of section 199A(d)(2) and paragraph (b)(1)(ix) of this section only, the performance of services in the field of brokerage services includes services in which a person arranges transactions between a buyer and a seller with respect to securities (as defined in section 475(c)(2)) for a commission or fee. This includes services provided by stock brokers and other similar professionals, but does not include services provided by real estate agents and brokers, or insurance agents and brokers."
It would appear that an insurance agent is specifically carved out and thus is NOT a SSTB. Am I correct or am I missing something?