Understanding Partnership and LLC Taxation
Receive a comprehensive understanding of key federal income tax issues in partnership taxation. Examine the different types of entities that are taxed as partnerships and identify the significant differences among them.
Understand the consequences of: contributions to and distributions from partnerships, taxable year and method of accounting, allocations of partnership income, gain, loss, deductions and credits, sale and exchange of partnership interests and partnership debt. Emphasis is placed on identifying tax planning opportunities and avoiding traps for the unwary.
Note: This is a survey course. Although class discussion reviews several features of Form 1065 and Schedule K-1, form preparation is not covered.
- Classification of entities as partnerships
- Key differences between general partnerships, LPs, LLPs and LLCs
- Inside and outside basis, and capital accounts
- Partnerships: Formation, operations, liabilities and allocation of income and loss
- Sale or exchange of partnership interests
- Guaranteed payments
- Inside Basis Adjustments
- Identify which entities will be taxed as partnerships.
- Determine the tax consequences of partnership contributions and distributions.
- Choose among the available taxable years and methods of accounting to determine the consequences of partnership operations.
- Select the proper method for allocating items of partnership income, gain, loss, deduction and credit.
- Identify the consequences of partnership recourse and nonrecourse debt.
- Determine how key tax items are reported on Form 1065 and Schedule K-1.
CPAs, attorneys, tax return preparers and financial professionals.
Applicable if you are a HSCPA member in good standing.
Applicable if you are not a HSCPA member.