Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2025 to receive credits
Schedules K-2 and K-3 for reporting partners' income, deductions, and credits from foreign activity is now required for passthrough returns (Form 1065, 1120-S and 8858). This requirement starts with returns with a tax year that ends in 2021. This course will discuss each part of these schedules and explain these new reporting obligation in detail.
Schedules K-2 and K-3 are promulgated by the IRS in order to standardize the reporting of foreign-related tax information for pass-through entities. Even passthrough entities that have no foreign activities, investments, or partners may have a reporting requirement. This course will present an introduction to Schedules K-2 and K-3, review the filing requirements, and discuss the different parts of the schedules and what needs to be included.
Publication Date: March 2022
Designed For
This course is suitable for Corporate tax and finance executives, directors, managers and staff, CPAs, Enrolled Agents, accountants, attorneys and business/financial advisors who work with and advise individuals or businesses that use or invest in cryptocurrency. All in-house and public practice professionals involved with tax compliance and who want up-to-date information on partnership and S corporation taxation.
Topics Covered
- Overview
- Transition Relief
- IRS Frequently Asked Questions
- Other Issues
- AICPA Comments
Learning Objectives
- Identify the purpose of Schedule K-2 and Schedule K-3
- Recognize the components of each form and the areas which will need to be completed
- Identify the new forms that affect partnerships and S Corporations
- Recognize when forms must be filed
- Identify how to determine which taxpayers need to complete these forms
- Recognize which Parts of Schedule K-2 relates to distributions from foreign corporations to partnership
- Recognize which Parts of Schedule K-3 includes information on a partner's Section 250 deduction
- Describe the penalty amount assessed for each insufficient Schedule K-1 for the 2020 tax year for failure to provide all required information
Level
Update
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
Basic understanding of tax preparation.
Advance Preparation
None
Instructor
Allison McLeod
Professor McLeod, LL.M., JD, CPA, is currently a full-time Senior Lecturer at the University of North Texas, where she has taught classes in Corporate Income Taxes, Multi-jurisdictional Taxes, Individual Taxes, Tax Research, Ethics and Financial Accounting. She has taught as an adjunct professor at the University of North Texas College of Law.
Prior to Professor McLeod going into academia, she worked for 18 years in industry and in a Big Four accounting firm. Professor McLeod earned a law degree from Baylor School of Law, and an LL.M. degree in Taxation from Southern Methodist School of Law. She has been a licensed CPA since 1993 and has been licensed to practice law since 1992. Professor McLeod has enjoyed teaching live ethics course to CPAs since 2011 and is the owner of
www.cpaethicsonline.com, which offers on-line self-study courses to CPAs. She currently serves on the Professional Ethics Committee of the Texas Society of CPAs.which offers on-line self-study courses to CPAs. She served on the Professional Ethics Committee of the Texas Society of CPAs and the AICPA CPA Exam Committee (REG).