- NY Credits : 2.0
- TX Credits : 2.0
- IRS Enrolled Agent Credits : Federal Tax/Tax Related Matters - 2.0
Most practitioners deal with Form 1065, U.S. Return of Partnership Income, on a regular basis. This program compares partnerships and corporations, explains how to determine a partner's basis, describes the at-risk rules, the passive activity rules, the general rules on recognizing gain or loss on the contribution of property, the calculation of basis, the factors that cause the basis of an individual partner to increase or decrease, the required adjustments to basis, how debt basis is allocated, the difference between a partner's capital account and a partner's basis, the methods of maintaining and reporting capital accounts, how to compute basis using the capital account, and the requirements for the IRC Sec. 754 election.
Upon successful completion of this course, the user should be able to:
recognize factors that limit the deductibility of partnership losses,
determine the treatment and tax consequences of contributions to a partnership,
identify the differences between the capital account and basis and determine the amount of a partner's basis in a partnership, and
recognize when the IRC Sec. 754 election should be considered and identify the related adjustments.