1040 Preparation and Planning 4: Gross Income: Interest, Dividends, and Other Ordinary Income (2024)

Author: Barbara Weltman, Sidney Kess, Greg White

Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2026 to receive credits

This two-hour CPE course, the fourth in the 1040 Preparation and Planning series, covers gross income from a number of sources, including interest, dividends, Social Security, alimony and other types of ordinary income. A case study that walks you through calculating reportable income is included in this course. Tax developments reflected in this course, including the Consolidated Appropriations Act, 2023 (including SECURE Act 2.0), the Inflation Reduction Act of 2022, and other tax legislation, IRS pronouncements, and court decision, are extensive. They impact 2023 tax year returns that will be filed during the 2024 filing season and refund opportunities for earlier, years; as well as point the way to strategic planning in 2024 and beyond. This course brings the tax preparer "up-to-speed" in preparing 2023 tax returns for the 2024 filing season.

Publication Date: September 2023

Topics Covered

• Items Includible in Gross Income
• Interest Income
• Dividends
• Tax Refunds, Credits, or Offsets of State and Local Income Taxes
• 1099-K
• Alimony
• Child Support
• Property Settlements
• Unemployment Benefits
• Social Security Benefits
• Other Income

Learning Objectives

• Recognize how to report interest income
• Identify qualified dividends
• Recognize how to figure the includible portion of Social Security benefits
• Describe the taxation of alimony under pre-2019 divorces
• Describe the taxation of unemployment benefits
• Recognize how to distinguish cancellation of debt income that is taxable from COD income that is excludable
• List "other income"

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
None

Advance Preparation
None