Alternative Minimum Tax and Like-Kind Exchanges

Highlights

*  Computing alternative minimum taxable income for individuals, corporations, and trusts and estates

*  Complete explanation of Forms 6251, 4626, and Schedule I of Form 1041

*  Assistance in identifying the most common situations in which individuals, corporations, and trusts and estates are likely to be subject to the AMT

*  Determining adjustments under §§ 56 and 58, including depreciation, long-term contracts, itemized deductions, interest deductions, and incentive stock options

*  Identifying tax preferences under § 57, including the capital gain exclusion for the disposition of small business stock, the elimination of the depletion deduction as a tax preference amount, and the cut-back of IDCs as a tax preference item. M Computing the ACE adjustment for corporations. M Exemption from AMT for small corporations

*  Computing the alternative minimum net operating loss

*  How passive loss rules affect the alternative minimum taxable income

*  Phasing out the minimum tax exemption

*  Calculating the MTC credit, including the difference between deferral & exclusion preferences

*  Calculating the AMT for a trust or estate, including DNI AMT and distribution deduction.

*  Statutory requirements of § 1031 dealing with the mechanics, including:

-Boot;

- Transaction costs;

-Debt rules;

- Depreciating the replacement property

*  Qualifying exchange property, including the latest on vacation home exchanges

*  Installment sales utilized in conjunction with like-kind exchanges

*  Multi-party like-kind exchanges

*  Exchanges of personal property

*  Exchanges with related parties

*  Partnership and one-member LLC exchanges

*  Review regulations on deferred like-kind exchanges

*  Starker and reverse-Starker exchanges

*  State tax problems. M Completing a Form 8824 using the settlement sheets for the relinquished property and replacement property in determining gain recognized and basis in the replacement property. .

Objectives

Practitioners will acquire a working knowledge of the AMT as it applies to individuals, corpora­tions, and trusts and estates, including planning strategies. The program will also provide participants with an understanding of the provisions of § 1031 and the entries that are required for Form 8824. This program will emphasize practical solutions for how to deal with the settlement for both the relinquished property and the replacement prop­erty and strategies for complex tax problems associated with deferred, simultaneous, and multi­party like-kind exchanges.