The Top Five Tax Issues in Dealing with LLCs and Partnerships

Overview

This course is offered in collaboration with multiple state societies and is hosted by the Indiana Society of CPAs.

Partnerships and LLCs involve unique problems that require careful attention. This course covers selected critical tax issues that practitioners need to know when working with partnerships and limited liability companies, with a focus on planning opportunities and pitfalls.

Highlights

• Coverage of important provisions of The SECURE 2.0 Act and Inflation Reduction Act • Self-employment tax issues: what you can and cannot do • Capital accounts: book vs. tax issues • Determining basis: key issues and technical analysis in calculating basis • Dealing with debt: recourse, nonrecourse, and why it matters • Guaranteed payments, distributive shares, and draws: understanding the difference

Prerequisites

A basic course in partnership theory or experience in tax compliance or planning for partnerships and LLCs

Designed For

Accounting and Financial Professionals who wish to gain a more in-depth understanding of LLC and partnership tax law

Objectives

• Identify and distinguish guaranteed payments and distributive shares • Understand the relationship between capital account maintenance and outside basis adjustment • Define various kinds of partnership liabilities and explain the tax consequences of each

Preparation

None