Partnership and S Corporation - Basis and Distribution Issues

Overview

Basis is a fundamentally important issue when dealing with pass-through entities, as it impacts the equity holder’s ability to deduct losses and/or receive distributions without a negative tax impact. As well, distributions from the different types of pass-through entities are subject to differences in treatment that can have a major impact on the tax liability of the client. This course will look at the rules on calculating basis, limitations on loss deductions (including at-risk rules), and the treatment of distributions.

Prerequisites

General tax knowledge

Designed For

Practitioners who advise clients holding interests in pass-through entities and the pass-through entities themselves.

Objectives

• Understand inside and outside basis and gain/loss issues on formation
• Perform calculation of basis based on annual activities of the pass-through entities
• Understand how to structure distributions to avoid unpleasant, surprise tax liabilities

Preparation

None

Notice

This course is provided by a third-party vendor. Please note that login instructions will not be available in the ‘My Upcoming CPE’ section of the NESCPA website. Instead, the login instructions will be sent directly to you via email by the California Education Foundation (CalCPA). Upon completing the course, your hours will be recorded in the ‘My CPE Tracker’ section of the NESCPA website.