- NY Credits : 3.0
- TX Credits : 3.0
- IRS Enrolled Agent Credits : Federal Tax/Tax Related Matters - 3.0
- IRS Non-Credentialed Return Preparer Credits : Federal Tax - 3.0
Form 1040 - Gains and Losses From Sale of Property
The basic IRC Sec. 1001 formula is amount realized less adjusted basis equals gain realized (or loss realized). The gain realized is not necessarily the amount taxed; only the gain recognized is taxable. Tax law, however, provides that all gain realized is to be recognized, unless a specific exclusion applies. This course details the general rules for gain recognition as well as discusses exceptions to the general rule for like-kind exchanges, involuntary conversions, sale of a principal residence, and other various types of transactions.
This course is most appropriate for the professional with detailed knowledge in Form 1040 who may be at a mid-level position within an organization with operational or supervisory responsibilities, or both.
Upon successful completion of this course, the user should be able to:
determine the adjusted basis of property, calculate the gain or loss upon disposition, and properly report the tax consequences;
apply like-kind exchange rules under IRC Sec 1031 and properly report any taxable gain or loss from such an exchange;
recognize and properly report an involuntary conversion of property;
apply the rules and reporting requirements for the sale of a principal residence; and
recognize the tax consequences of other various types of transactions.