Description:

This book is for preparing 2024 taxes. This course dives into some of the more difficult but common tax issues unique to partnerships and S corporations. It covers the basics of calculating and maintaining basis in either entity using worksheets or Form 7203, S corporation Shareholder Stock and Debt Basis Limitations, and the tax impact basis has on distributions and pass-through losses. Additionally, tax professionals may expand their knowledge of partnership taxation by analyzing tax basis capital accounts, allocations of profit and loss, the §754 election, a change in partners and hot assets. Tax professionals will also increase their expertise in S corporations by examining reasonable compensation for shareholders, the built-in-gains (BIG) tax and changes in stock ownership. 

• Maintaining basis in a partnership and tax basis capital accounts
  
• Calculating stock and debt basis in an S corporation by completing Form 7203
• Determining whether pass-through losses are deductible or distributions are taxable
• Recognizing guaranteed payments for partners and determining reasonable compensation for shareholders
• Outlining when a §754 election is appropriate and calculating and reporting necessary basis adjustments
• Summarizing the rules for partnership allocations of income and loss
• Calculating and reporting the BIG tax for a previous C corporation that becomes an S corporation
• Analyzing the tax consequences of a change in partners or shareholders

Product Details:

Item Number: 24366

Level: Intermediate

Authors: NATP Staff

Published: 2024

Format: Print - 248 pages

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Corresponding CPE Courses:

Get the e-book FREE when you purchase the corresponding 2024 course