A New Look at Partnerships and LLCs After Tax Reform
Monday, December 2, 2019
This course examines the critical challenges and opportunities facing partnerships and their partners after the December 2017 passage of the Tax Cuts and Jobs Act. The new Section 199A deduction will be examined, as well as the 30% interest expense limitation. The new partnership audit rules that are now taking effect will be unraveled, together with the new IRS requirement for tax basis partner capital information. Practical planning tips and potential pitfalls will be discussed.
- Define the tax consequences and various liabilities for both partnerships and LLCs
- Apply planning opportunities and potential pitfalls
- 2017 Tax Cuts and Jobs Act
- Section 199A 20% deduction.
- 30% interest limitation.
- Comparison of S corporations, LLCs and Partnerships.
- New Partnership Audit Rules.
- New IRS requirement for tax basis partner capital information
- Active vs. passive income.
- Determining partner basis.
- Self-employment tax issues, guaranteed payments and fringe benefits.
- Capital accounts.
- Built-in gains and losses.