The objective of this course is to train new staff accountants, data processing employees, para-professionals, and bookkeepers to prepare a complicated federal individual income tax return. Over the years, thousands of new staff have received practical, hands-on experience to become familiar with most tax forms. This course covers the latest tax law changes, making it essential for your new staff.

• Preparation of various Form 1040 individual tax returns and schedules
• Tax filing status -- Rules for filing status and planning opportunities and pitfalls
• Dividends and interest -- Ordinary, return of capital, and capital gain distribution dividends; tax-exempt interest, original issue discount, etc.
• Security transactions -- How to handle mutual fund sales and related basis issues
• Self-employed person issues
• Sale and exchange of property -- Understanding Form 4797 and depreciation recapture; capital gains
• Schedule C deductions
• Passive losses -- How to handle rental property and a working understanding of how the passive loss rules flow to the tax forms
• Itemized deductions -- A thorough understanding of what’s deductible and what’s not with a checklist to help in return preparation
• Interest deductions -- Limitations and timing problems
• Retirement contributions and education credits and deductions
• Tax computation – The new Kiddie tax, AMT, regular tax, tax credits, etc.
• Individual problems illustrating form preparation for various items
• Impact of recent legislation on the 1040

Designed for: New staff and para-professionals who prepare individual returns..

Level of knowledge: Basic

Field of study: Taxes