ATFI
ADVANCED TECHNICAL TAX FORMS TRAINING – FORM 1040 ISSUES

Experienced staff can get bogged down in busy season with difficult tax returns that have multiple K-1s, AMT, at-risk basis, and passive activity loss issues. These are the topics that experienced staff, managers, and partners should understand in depth. This course will cover the practical and complex issues in dealing with these most difficult matters and assisting the CPA firm in planning effectiveness and productivity in these areas as well as avoiding costly mistakes when facing complicated 1040 issues.

Major Topics

• Form 6198 – At-risk basis: Detailed case study and in-depth discussion of how this form is to be used and when it needs to be filed; learn how basis and at-risk basis are different, and why this is significant.
• Form 982 – Reduction of tax attributes due to discharge of indebtedness (and §1082 basis adjustment), in light of the recession, real estate spiral and mortgage crisis of recent years, this form is essential to understand.
• Form 6252 Installment sale income: A common tax area; however a detailed case study and discussion of this topic includes advanced issues such as gain on reacquisition of installment sale property. Includes worksheets on calculating gain and tax basis of reacquired property.
• Schedule SE (Form 1040): Advanced study of what constitutes self-employment income, including current developments regarding independent contractors and a discussion of possible future developments under President Obama.
• Form 6251 – Detailed case study and discussion to understand the adjustments and preferences associated with Alternative Minimum Tax. Includes detailed discussion of proper treatment of Incentive Stock Options.
• K-1 issues – Discuss the problems of reporting issues for complex K-1s, such as hedge funds and when hidden taxable income can arise.
• Creating and maintaining basis worksheets for S Corporations, shareholders, LLC members, and partners in partnerships.
• Advanced income reporting issues: including post-2008 sale of second home; and reporting passive activities on Form 8582.
• Advanced issues regarding itemized deductions.
• New forms released in light of recent legislation

Designed For: CPAs in public accounting who prepare or review complex 1040 returns.

Level of Knowledge: Advanced

Prerequisites: Basic- to intermediate-level experience in preparing Form 1040.