1040 Preparation and Planning 6: Gross Income: Business, Farm, and Rental Income (2021) (Currently Unavailable)

Author: Barbara Weltman, Sidney Kess

This on-demand course looks at expenses and deductions for business, including: travel, entertainment, home office, work-related education, depreciation, losses, farming, rents and royalties, investments and income-producing activities. It also covers research and development expenditures, the domestic activities deduction, expenses that are part business and part personal, and much more.

Publication Date: November 2020

Designed For
Tax practitioners.

Topics Covered

• Schedule C
• Domestic production activities
• Vacation home rules
• Home office deduction
• Farming activities

Learning Objectives

• Complete Schedule C
• Recognize how to determine eligibility for and report deductions on a range of business expenses
• Identify report deductions for travel-away-from-home costs
• Recognize how to figure meal cost limitations
• Identify how to figure the home office deduction
• Recognize how to calculate deductions for business vehicle use
• Explain property depreciation, first-year expensing, bonus depreciation, and depreciation recapture
• Recognize how to apply the rules for amortization, depletion, different types of losses, and bad debts
• Identify expenses subject to amortization
• Describe how to figure depletion deductions
• Recognize how to apply the limits on trade or business losses
• Identify how to determine net operating losses
• Determine whether a debt is a business or nonbusiness bad debt
• List special deductions for farming activities
• Recognize how to apply the passive activity loss rules to businesses and rental activities
• Determine when losses from the rental of a home are deductible
• Figure the qualified business income deduction

Level
Intermediate

Instructional Method
Self-Study

NASBA Field of Study
Taxes (4 hours)

Program Prerequisites
1040 Preparation and Planning: Fundamentals or basic understanding of Form 1040.

Advance Preparation
None