This comprehensive course is designed to get the accountant up to speed quickly in the area of basis calculations and distribution planning for the owners of pass-thru entities (i.e., S corporations, partnerships and limited liability companies (LLCs)). The cornerstone of this course is the line-by-line analysis of the S corporation and partnership Schedule K-1s.
Participants will:
- Walk away with a complete understanding of how to calculate the owner's basis in a S corporation, partnership or LLC
- Review the Form 1120S and Form 1065 Schedule K-1s to determine how the line items affect basis calculations and get reported on the individual owner's Form 1040
- Understand how losses and deductions may be limited on the Form 1040 due to the basis, at-risk and other Federal individual income tax rules
Receive a comprehensive reference manual with numerous practice aids and real world case studies
- In-depth coverage of calculating a S shareholder's stock and debt basis and a partner/member's outside basis
- Emphasis on any new legislative changes including those enacted by the Patient Protection & Affordable Care Act (i.e., the 3.8% net investment income tax & additional 0.9% Medicare tax on high income shareholder's wages & partner's self-employment income).
- Analysis of the Schedule K-1 line-by-line and discuss where the items get reported on Federal individual income tax return and how they affect the basis calculations
- Learn the three limitations for deducting losses and deductions on the owner's individual income tax return (i.e., basis, at-risk and other Form 1040 limitations)
- Determine if cash or non-cash distributions are taxable to the owners and how they affect the basis calculations
- Compare the tax treatment of the sale of a shareholder's stock in a S corporation and a partner's interest in a partnership
- Walk through the detailed S corporation shareholder debt basis rules and final regulations on open account debt
- Look at the tax ramifications of repaying loans to S corporation shareholders
- Discuss how recourse and non-recourse debt have an effect on a partner or member's basis calculations and amount at-risk
Email Address: | |
Password: |