Advanced Partnership Taxation Concepts
Author: Greg White
| CPE Credit: |
4 hours for CPAs
4 hours Federal Tax Related for OTRPs
4 hours Federal Tax Law for CTEC |
Partnerships are the fastest growing type of business entity. Understanding the finer points of tax preparation and planning for partnerships is a key part of all tax practices.
In this course, we’ll cover sophisticated strategies to keep you on the cutting edge, including self-employment tax for LLC members, allocating losses of limited liability companies, and admitting new partners in the most tax efficient manner.
Publication Date: December 2021
Topics Covered
- When should self-employment earnings be reported for an LLC member?
- Claiming bonus depreciation on §743 step-ups from purchases of partnership interests
- Avoiding the IRS's dangerous CPAR audit rules
- Transferring profits interests in partnerships without triggering taxation to new owners
- Allocating losses to LLC members under §704(b)
- Claiming bad debts for partner loans
- Deducting interest on loans made to purchase partnership interests or make loans to partnerships
Learning Objectives
- Identify partnerships that are able to elect out of the CPAR (centralized partnership audit regime)
- Recognize how to report self-employment earnings for LLC members
- Identify partnership clients that are eligible to elect out of the dangerous new IRS audit rules for partnerships (CPAR)
- Compute bonus depreciation on the purchase of a partnership interest
- Identify the number of ways to allow spouses to avoid CPAR treatment
- Recognize which type of entity had the greatest increase in returns filed from 1995 to 2013
- Identify the second step in the purchase and sale of real estate
- Identify the best option with respect to CPAR Partnerships audit rules
- Describe the three reasonable methods proposed by the Treasury, with respect to problems with §704(c)
- Recognize a type of SSTB where certain wage and property limits apply with respect to QBID
- Identify the phase-in range for single filing jointly taxpayers with respect to QBID
- Recognize which type of partnership expense payments is treated as a contribution to the partnership
- Identify a method of allocation between land and building
Level
Advanced
Instructional Method
Self-Study
NASBA Field of Study
Taxes (4 hours)
Program Prerequisites
Basic understanding of partnership taxation.
Advance Preparation
None
