SM Handbook for Mastering Basis, Distributions & Loss Limitation [HMBI Fbx]

Full Description

Surgent McCoys Handbook for Mastering Basis, Distributions and Loss Limitation Issues For S Corporations, LLCs, & Partnerships

August 13, 2010
Fairbanks, Alaska

$295 AKCPA Member Fee
$370 Non Member Fee

The most difficult concepts to master when dealing with flow-through business entities are the basis and distribution concepts. Major error and malpractice issues occur if the CPA does not fully understand the impact of these rules. This course is designed to focus on the practical applications of these rules.

Major Topics:
Applicable coverage of the tax acts of 2010 and any new legislation enacted before the presentation

S Corporations:
Beware of recent Final IRS Regulations regarding Open Debt of S Corporations
Determine how to calculate basis. Worksheets are included.
Understand the effect of stock basis and debt basis and IRSs recent focus on at-risk basis for shareholders
Recognize how AAA applies or does not apply to certain S corporations
Learn to apply the complex ordering rules and special elections that can have a big tax result
Review K-1s and understand the practical issues of how to determine basis
Discuss loss limitation rules in depth
Become aware of when you can have a taxable dividend in an S corporation
Understand distributions of cash and property and post-termination transition rules
Learn how the passive loss rules can create other problems

LLCs and Partnerships:
Understand the significant differences that can occur in calculating basis for an LLC vs. a partnership
Learn the detailed rules of 704 for preventing the shifting of tax consequences among partners or members.
Determine how to calculate basis. Worksheets are included.
Recognize how recourse, nonrecourse, and qualified nonrecourse debt can create significantly different tax results
Learn the difference between basis and at risk basis and what it means
Review 754 step-up in basis rules
Discuss inside vs. outside basis and optional basis adjustments
Learn to apply the complex rules of distribution of cash vs. property and the planning strategies
Find out how hot assets can change the game for distributions
Review K-1s and understand the practical issues of how to determine basis
Who Will Benefit:
CPAs who prepare both individual and flow-through business entity tax returns and need a thorough grasp of these significant issues. This course is a must for practitioners to help reduce and avoid this exposure to malpractice.
Level: Intermediate
CPE Credit Hours: 8
Acronym: HMBI
Discussion Leader: Pamela J. Davis-Vaughn, CPA
Pamela J. Davis is a general practitioner providing accounting and tax services to her clients in Corning, New York. She has designed and taught undergraduate and graduate courses in state and local tax at Texas universities, including Baylor and Texas Tech, and has been a highly rated speaker at the Controller's Roundtable, a sponsored event for controllers of automobile dealerships in Texas.

Pam has over 25 years of experience in both public and private accounting sectors. Her public experience ranges from a Big Four firm where she assisted several Fortune 500 companies in restructuring their operations to provide state income and franchise tax savings, participated on the mergers and acquisitions team, and served as the Southwest Area Employment Tax practice leader to providing tax consulting services for closely held businesses of a 16-partner, 100-staff Dallas CPA firm. Her experience in the private sector as CFO of a Dallas based manufacturer servicing the telecom industry and Tax and Accounting Manager of a large independent oil and gas company provides her with significant insight into the challenges faced by those practicing in industry.

Pam holds a BS degree in Business and Accounting from the University of Kansas, an MBA from Wichita State University, and has completed post-graduate work in International Tax at New York University.

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