Tax Fundamentals of LLCs and Partnerships (11W435-16)
Description
Acquire the basic skills you need to prepare income tax returns for LLCs
and Partnerships. This course helps you identify the information
required from the accounting system and the questions to ask of managers
or business owners. This course provides participants with a foundation
of tax principles and rules applicable to flow through entities under
IRC section subchapter K. Topics Discussed • Formation and the
Check-the-Box rules • Profit and loss allocation • Effect of liabilities
• Contributions and distributions • Reporting taxable income
Learning Objectives
•
Recognize differences among the various types of partnerships and an LLC • Describe how partnerships and LLCs opting to be treated as partnerships will report their federal taxable income to the IRS • Determine the tax basis of assets transferred to a partnership or LLC at formation • Explain the tax consequences and liabilities to a partnership/LLC of property transfers • Distinguish between distributions and compensatory payments to partners and recognize tax consequences of each type of payment • Apply the at-risk and passive activity loss limitations to pass-through losses from partnerships and LLCs
Major Topics
Tax structure of partnerships and LLCs Tax consequences of partnership or LLC formation Partnership distributions Compensatory payments to partners Overview of profit and loss allocations
