Objective
- Understand how to properly report advanced transactions in financial instruments and investments
- Understand the special problems and new issues for the current return
- Identify the causes of alternative minimum tax liability and what can be done to reduce or eliminate it
Highlights
- New issues for the current year tax return
- Items added by the Affordable Care Act
- Installment sales -- understanding the complicated issues
- Form 8582: Passive losses with carryovers -- Complicated case with filled-in forms
- Puts, calls, straddling, and unusual investments -- Understanding the tax laws and reporting them correctly on the tax return
- Capital gain and loss issues -- The problem with proper reporting of installment sales issues; capital gains and losses; when is a stock worthless; and much more…
- At-risk rules: What a return preparer really needs to know
- Passive loss issues -- You can't just trust your software. What to watch out for, and the questions you need your clients to answer in order to do it right!
- Incentive and nonqualified stock options -- Reporting; key strategies for planning; dealing with the alternative minimum tax
- Alternative minimum tax -- Understanding it; planning strategies to avoid it; using the minimum tax credit; explaining it to a client
- Form 6251: Detailed calculation example
Designed For
Experienced CPAs who want and need an in-depth knowledge of the most difficult individual-income-tax-return issuesPrerequisite
Extensive experience in preparation of individual income tax returnsAdvanced Preparation
None