Reviewing Partnership Agreements to Identify Key Tax Issues (Completed)

Date: Monday, March 4, 2024
Instructor: James R. Hamill
Begin Time:  9:00am Pacific Time
10:00am Mountain Time
11:00am Central Time
12:00pm Eastern Time
CPE Credit:  2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC

Professional tax advisers use the partnership (or LLC) agreement to determine how to allocate items of income and loss and to identify other issues that may affect both tax compliance and planning considerations for the partnership and its partners. If the provisions of the agreement are ambiguous, the tax adviser is often forced to infer the intent of the agreement. How do you make your best shot at getting the taxation of a partnership right in such instances?

In this two-hour CPE webinar with nationally recognized tax expert and instructor James Hamill, CPA, Ph.D. will explain why, when and how to review a partnership agreement to assist the drafter with important tax issues that will arise during the life of the partnership. Dr. Hamill will also discuss how to identify transactions for which the agreement does not clearly identify the partners’ economic deal. And, if you’re lucky enough to get involved early in the process, you can learn to spot how many agreements do not clearly define terms, do not have clear cross references, or do not consider significant tax elections.

Who Should Attend
CPAs, EAs, tax preparers and other tax professionals with responsibility for review of partnership and LLC tax returns and planning for partnership tax entities.

Topics Covered

  • Reviewing distribution provisions
  • Reviewing allocation provisions
  • Definitions, terminology, cross references
  • Tax elections that should be considered
  • Special tax issues that may need to be addressed

Learning Objectives

  • Recognize the economic deal and how to ensure the agreement is consistent
  • Identify key issues that should be in the agreement for allocation integrity
  • Describe the common tax provisions and definitions that should be in the agreement
  • Identify how to distinguish between profit/loss allocations and cash distribution shares
  • Recognize when book basis can be useful
  • Recognize reasons why a CPA should review the Partnership Agreement
  • Describe Economic Effect
  • Recognize suggestions offered by Section 704(c) regulations when specifying a method to allocate profits and losses
  • Recognize when a new partnership-level audit regime takes effect


Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
Experience with partnership taxation issues.

Advance Preparation

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