Description

The course provides a comprehensive, hands-on, pencil pushing understanding of the preparation of both S corporation and partnership/LLC tax returns, along with the underlying laws, regulations, etc. The course uses the basic concepts underlying the two main types of business returns: 1120S and 1065 as building blocks for more complex concepts tax preparers should be aware of. The theoretical concepts get illustrated in comprehensive examples that incorporate the most up-to-date law changes and provisions.

Instructor: Dave Peters, CPA, CFP, CLU, CPCU, MST, MBA

Target Audience

All levels of staff and company controllers responsible for filing these forms

Course Objectives

Learn in detail about the preparation of Form 1120S, Schedules M-1, K, and K-1

Learn in detail about the preparation of Form 1065, Schedules M-1, K, and K-1

Identify and handle commonly found S corporation and partnership tax issues

Subjects

Updates related to the One Big Beautiful Bill Act – incorporated throughout the material

The tax consequences, opportunities, and pitfalls of operating a business as a partnership, LLC, or S corporation

Reporting requirements and filing exceptions for Schedules K-2 and K-3

Form 7203, “S Corporation Shareholder Stock and Debt Basis Limitations”

Income tax laws for S corporations ranging from eligibility and election to tax return preparation, stock basis, and loss limitation issues

Recognizing and handling special pass-through items of income and expense

Preparing S corporation returns and reconciling book income to taxable income

Preparing partnership returns and reconciling book income to taxable income

What the transactional method entails and how to report partners’ capital accounts under this method

Properly handling the tax treatment of distributions to shareholders, partners, or members

The special restrictions and sanctions for tax year-end selection

The basics of partnership and LLC formation and basis calculation

Self-employment tax or NOT, for each entity

Filling in K-1s correctly for S corporations, partnerships, and LLCs. Major changes in K-1 reporting on both partnership and S corporation forms and content

The most frequently used forms and schedules, including some form “oddities”