With the advent of the electronic matching of K-1 information with items
on partners’ and S Corporation shareholders’ returns, 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 D 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.