Hands-On Tax Return Workshop - Partnerships & LLCs (Form 1065)

Overview

This case-driven training is designed to get the inexperienced accountant up to speed quickly in the most common areas of partnership, limited liability company (LLC) and limited liability partnership (LLP) taxation. A cornerstone of this course is the preparation of the Form 1065 using a fairly complex trial balance common to most partnership, LLP and LLC income tax returns.

**Please Note: If you need credit reported to the IRS for this IRS approved program, please download the IRS CE request form on the Course Materials Tab and submit to kori.herrera@acpen.com

Highlights

Extensive review of the partnership income tax laws with an emphasis on any new legislative changes
Comparison of partnerships, LLCs and LLPs
Overview the formation of a partnership/LLC and the §704(c) pre-contribution gain or loss rules
Schedule K analysis– determine if income statement items are separately (i.e. schedule K) or non-separately stated income and expense items
How schedule K items get allocated to partners on schedule K-1s
Look at detailed Schedule K-1 information reporting to partners needed for the qualified business income (QBI) deduction, 3.8% net investment income tax and business interest expense limitations
Learn the special tax treatment of fringe benefits paid on behalf of the partners and LLC members
Comparing the tax and §704(b) book capital account computations
Discuss partner guaranteed payments and self-employment tax issues
Schedule M-1 – reconciliation of income or loss per books with income or loss per income tax return
Schedule M-2 – analysis of partners’ capital accounts
Review the importance and basics of calculating a partner/member’s outside tax basis.
Overview of the tax treatment of distributions, recourse and nonrecourse debt allocations, §754 election for optional basis adjustments and §743/§734 mandatory basis adjustments

Prerequisites

None

Designed For

Tax return preparers, staff accountants, and paraprofessionals with little or no experience and out of practice public accountants seeking a basic partnership tax return preparation course.

Objectives

Prepare a complete Form 1065 income tax return and related schedules with minimal review points
Understand the partnership income tax law from a tax-form perspective and become more knowledgeable with the information gathering process (i.e. asking the right questions)