S Corporation and Shareholder Tax Reporting (Completed)

S Corporations, as flow through entities, must report separately-stated items of income or loss. These are items that may differentially impact the tax reporting of partners or shareholders based on the owners’ specific tax positions. The 2017 TCJA continues a trend of adding more items that require additional information reporting by flow through entities. Because TCJA has many provisions that remain unclear, some of which have been addressed by regulation, professional advisers may reasonably disagree on the level of specificity to provide to shareholders.

Professional tax advisers will need to understand both the level of detail to provide to owners of S corporations as well as the specific information to be provided. This session will discuss general tax reporting by an S corporation and its shareholders, including ordinary and separately-stated items, specific information that must be provided to allow shareholders to properly report, when S shareholders must report tax basis, issues associated with PPP loans, and new questions that must be answered.

In this two-hour CPE webinar nationally recognized tax expert and instructor James Hamill, CPA, Ph.D., will explain how to prepare partnership and S corporation tax filings in the most informative way. The instructor’s approach is generally to ask “would I want to see further information or detail if I were preparing the partner or shareholder’s return?”

Who Should Attend
CPAs, EAs, tax preparers and other tax professionals with responsibility for preparing or reviewing S corporation tax returns.

Topics Covered

• What is included in ordinary income or loss
• What items are commonly separately stated
• Tax elections to be made at the entity-level
• Questions to be answered
• How to handle uncertainty in answering questions
• Activity or business groupings by the entity
• PPP loan deductions and adjustments to basis of stock from such loans
• What debt creates basis
• Reporting tax basis by a shareholder
• Allocations when interests vary
• Net investment income tax reporting
• Passive activity reporting
• Opportunity zone tax deferral approaches
• Qualified business income deduction reporting
• Business interest expense reporting

Learning Objectives

• Identify key reporting issues in flow through entities
• Recognize how to provide the most useful information to the owner

Level
Intermediate

Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
Basic experience with preparing S corporation and S shareholder tax returns.

Advance Preparation
None