Fundamentals of Pass-through Entity Tax (PTET )
Date: Tuesday, July 8, 2025
Instructor: A.J. Reynolds
| Begin Time: |
9:00am Pacific Time
10:00am Mountain Time
11:00am Central Time
12:00pm Eastern Time |
| CPE Credit: |
1 hour for CPAs
1 hour Federal Tax Related for EAs and OTRPs
1 hour Federal Tax Law for CTEC |
|
NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN card
December 22, 2017 the Tax Cuts & Jobs Act (TCJA) passed and imposed a $10,000 limitation on the deduction of state and local taxes (SALT) for tax years 2018 through 2025.
November 9, 2020 IRS issued Notice 2020-75, which announced rules regarding clarification that state and local income taxes imposed on and paid by Pass-Through Entities will be allowed as an ordinary and necessary deduction in computing its non-separately taxable income or loss for the taxable year of such payment. Hence, these payments will not be subject to the SALT limitations.
The course will present tax professionals with up-to-date valuable knowledge on this PTET and how these rules impact their clients who operate pass-through entities (PTE).
Who Should Attend
All Tax Professionals that prepare Pass-Through Entities tax returns such as Form 1120S and Form 1065.
Topics Covered
- Expiration of the SALT and issues with PTET
- Extrapolate PTET tax savings
- Examine what is a PTET
- Investigate Notice 2020-75
- Fundamentals of PTET
Learning Objectives
- Evaluate provisions of Notice 2020-75
- Analyze rules regarding specified income tax payments (SITPS)
- Understand the importance of ensuring your Pass Through Entity (PTE) takes advantage of PTET elections
- Examine which Entities can use this election
- Explore what expiration of the SALT would mean for PTE
Level
Basic
Instructional Method
Group: Internet-based
NASBA Field of Study
Taxes (1 hour)
Program Prerequisites
None
Advance Preparation
None
