The Tax Cuts and Jobs Act repeals the domestic production activities deduction (DPAD). Under current law, taxpayers can claim a DPAD equal to 9% of the lesser of the taxpayer’s qualified production activities income or taxable income for the tax year. The deduction is limited to 50% of the W-2 wages paid by the taxpayer during the calendar year. Qualifying receipts are derived from property that was manufactured or produced in the United States. The DPAD is repealed for noncorporate taxpayers after Dec. 31, 2017, and for C corporations after Dec. 31, 2018.