The IRS is scrutinizing, more closely than ever, the basis owners have
and the transactions in which the computation of basis is required. This
course addresses the rules used to determine basis for partnerships and
S Corporations, and puts the computation of basis in contexts that often
come under scrutiny – loss limitations, distributions, and sales of an
interest, among others. Learn the crucial rules for computing the
adjusted basis and the tax treatment of distributions of pass-through
entities such as partnerships and S Corporations. Focus on the
computation of the basis and the at-risk amount for these entities.
Become familiar with correct allocation of liabilities among partners,
the types and amounts of income that can result from distributions and
sales of interests, and the basis of assets distributed from
pass-through entities. Topics Discussed Structuring cash and property
distributions to avoid unexpected tax consequences Adjusting basis in
partnership assets to save future taxes Measuring the gain or loss on
the sale of an interest in a partnership or S Corporation Minimizing
recognition of ordinary income on sale of an interest Maximizing the
amount of the pass-through losses deductible by the partner/shareholder