- NY Credits : 10.0
- TX Credits : 10.0
- IRS Enrolled Agent Credits : Federal Tax/Tax Related Matters - 10.0
- IRS Non-Credentialed Return Preparer Credits : Federal Tax - 10.0
This course provides guidance on the preparation of Form 1041 and counseling clients about numerous issues involving estates and the various types of trusts, including simple and complex trusts, grantor trusts, revocable living trusts, electing small business trusts (ESBTs), business trusts, and liquidating trusts. Topics include a review of trust concepts and the types of trusts; the differences between accounting income and taxable income; application of the Uniform Principal and Income Act and the impact of state laws; pass-through entities and material participation by trusts; allocation of income and expenses; treatment of bundled fees; distributable net income (DNI) and the income distribution deduction; the taxation of distributions to beneficiaries; federal income tax, alternative minimum tax, net investment income tax, and household employment taxes; penalties; and extended returns, amended returns, claims for refund, and requests for prompt assessment. This course also addresses changes due to the Tax Cuts and Jobs Act of 2017. This intermediate level course is most appropriate for the professional with detailed knowledge in Form 1041 or the professional seeking to expand his or her knowledge base and 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:
identify the parties to a trust, the source of rules for determining accounting income, the various types of trusts, as well as filing requirements, deadlines, and requests for extension,
recognize the differences between a trade or business engaged in by an individual and a trust or estate, including the requirements for material participation and the special rules that apply to S corporations and other pass-through entities,
properly classify, allocate, and report the income and expenses of trusts, estates, and decedents,
identify the various penalties that apply to trusts and estates, and
recognize and apply the rules for grantor trusts.