Business Interest Expense Limitation Under 163(j) - Keeping Financing From Being Even More Expensive

Description

Borrowing to finance a business is expensive enough to begin with. Losing the tax deduction for business interest expense (BIE) opens a new wound and pours salt into it.  If new §163(j) applies to limit the BIE deduction, interest expense stacks up like checkers on a bad checkerboard. If it stacks up on you, then maybe, just maybe, you can deduct it later, or perhaps it will sit there and just rot.

**Please Note:  If you need credit reported to the IRS for this IRS approved program, please download the IRS CE request form on the Course Materials Tab and submit to leighanne.conroy@acpen.com.

Highlights

• Business interest expense (BIE) allowed and suspended
• Adjusted taxable income computation – Twists, twists and turns
• Determining whether small business exempt from the rules
• Determining whether business is “tax shelter” on hook for §163(j)  
• What in the dickens is excess business interest expense (EBIE) anyway?
• What elections out are available? What do they cost?
• How do C Corps fare?  S Corps?
• How do partnership stack things? Where do the stacks end up sitting?
• How the attribution rules can hand your head to you
• Planning to keep BIE deductions flowing to begin with

Objectives

•  To learn the ropes of the new rules and maximize deductions for business interest expense

Designed For

Persons interested in maximizing (and reporting on relevant tax returns) interest expense deductions under 163(j)