This course will provide a detailed analysis of how to determine a partner's tax basis for a partnership interest, with an explanation of the use of both "inside" and "outside" basis determination. An illustrated example with filled in forms will demonstrate how the process works and the potential pitfalls.
DESIGNED FOR
CPAs working in public accounting firms and/or working for partnerships.
BENEFITS
After attending this presentation, you will be able to...
- Implement practical strategies based on a thorough understanding of the complex rules for retirement distributions
- Implement practical strategies in determining a partner’s tax basis for a partnership interest
- Identify the use of Form 1065, Schedule K-1 information for basis determination.
HIGHLIGHTS
The major topics that will be covered in this course include:
- Explain the use of both "inside" and "outside” basis determination.
- How to calculate tax basis capital accounts, including when the entity is formed, including the impact of contributed property.
- Clarify the importance of partnership capital accounts and partnerships debt on partner's tax basis.
- Explanation of how basis is impacted distributions and by sale and/or liquidation of the partnership interest.
- Comprehensive example to illustrate the mechanics of the basis determination process.
PREREQUISITES
Basic working knowledge of business taxation.
ADDITIONAL NOTES
This event may be a rebroadcast of a live event and the instructor will be available to answer your questions during the event.