2-Day Core Seminar

Instructor: Chuck Stephens

A taxpayer can deduct certain interest paid or accrued on indebtedness within the tax year. To be deductible, the indebtedness must be an existing, unconditional, and legally enforceable obligation for payment. This chapter discusses indebtedness that is contingent on a future event, and the tax impact of conditions that arise after the sale. A contingent payment installment sale is an installment sale in which the total sale price cannot be determined by the end of the tax year of the sale. This course explains how to calculate the gain on a sale where the sale price has not been fixed in the year of the sale.

• Determine when a taxpayer can deduct interest on indebtedness that is conditional or contingent
• Calculate gain on a contingent payment installment sale
• Know when a taxpayer can claim a business bad-debt deduction
• Recognize fringe benefits that an employer may exclude from an employee’s income
• Understand the eligibility requirements for the employer-provided child care credit
• Know when a deduction for employerprovided meals and entertainment is allowed
• Understand the limits on deducting meal and entertainment expenses and exceptions to those limits
• Understand how a marijuana business reports its expenses
• Know how to calculate the qualified commercial clean vehicles credit

Instructor: Robin Putnam

In this 2 part 2-credit course students will understand:

• Keeping data protected, and practitioners and clients safe
• Compliance with Circular 230
• Understanding cyberattacks
• Best practices
• Preventing identity theft, fraud, and more

Instructor: Christopher Hawthorne

Discusses types of cyberattacks, duties to safeguard information, and steps that a taxpayer and tax practitioner can take to avoid becoming the victim of a data breach or identity theft. Provides practitioners with resources to help them minimize security risks and keep compliant with Circular 230.

Instructor: John Warren

This course examines tax preparer conduct standards. It addresses the issues of confidentiality, accuracy, conflict of interest, taxpayer omissions and return of client records. The ethical rules governing these issues are discussed, and tax preparers are presented with real-world scenarios that focus on the ethical issues that may be encountered in their professional activities.

Upon completion of this 2-credit course, a student should be able to:

• Recognize the permitted scope of tax return preparer responsibilities;
• Identify the best practices for tax advisers in preparing or assisting in the preparation of a submission to the Internal Revenue Service;
• List practitioner duties and restrictions with respect to information furnished to the IRS, the unauthorized practice of law, dealing with taxpayer omissions, errors and noncompliance with U.S. revenue laws, the requirement for preparer diligence as to accuracy, return of client records, the existence of conflicts of interest, and solicitation of business; and
• List the various sanctions that may be imposed for a preparer’s failure to comply with applicable conduct rules.

Instructor: Cheryl A. Morse

Filing Form 3115 and making Section 481(a) adjustments are used to align with new regulations, accounting method changes, errors or many other reasons. Learn about what constitutes a change of accounting method, and how to correct it.

Course Objectives:

• Assess the applicability of form 3115
• Properly correct depreciation errors
• Understand the basics of accounting method changes including Sec. 481(a) positive and negative adjustments
• Complete Form 3115 for a taxpayer correcting depreciation calculations
• Complete Form 3115 for a taxpayer changing accounting methods

Instructors: Joseph A. McCarthy & Jeffrey L. Latessa

IRS Stakeholder Liaisons provide updates, tools, and information.

Instructor: Cheryl A. Morse

Tax legislation enacted late in 2023 and in 2024 affects a variety of tax provisions. This course will describe these new laws and regulations. This course also reports notices and procedures issued to provide guidance and clarifications on recently enacted legislation. Finally, this course lists the expiration dates of tax provisions that expired or are set to expire in 2024–2025.

After completing this session, participants will be able to do the following:
✔ Advise clients about the tax laws that were enacted or changed late in 2023 and in 2024
✔ Identify individual and business income tax exclusions, deductions, and credits that expire in 2024 and 2025; and exclusions, deductions, and credits that are expiring in future years

Instructor: Lisa Cochell

Rental income is not typically subject to information reporting, and is thus a focus of IRS efforts to increase reporting compliance and decrease the tax gap. This chapter discusses real estate rental activities. It reviews what constitutes rental income and identifies deductible rental expenses. Explains when the tangible property regulations allow deductions for repairs and improvements, and when the at-risk rules and the passive activity loss limits may limit a loss from rental real estate. Discusses two passive activity loss rule exceptions: the rules that apply if a taxpayer qualifies as a real estate professional, and the $25,000 special allowance for passive activity rental losses.

Explains how rental income and expenses are reported on Schedule E (Form 1040), Supplemental Income and Loss, for an individual taxpayer. It provides a comprehensive example of reporting real estate rental activity.

After completing this session, participants will be able to do the following:
✔ Calculate income and expenses for a residential real estate rental
✔ Apply the safe harbors under the tangible property regulations
✔ Know how to characterize a real estate rental expense as an improvement
✔ Understand when there may be self employment tax on rental income
✔ Apply the at-risk rules
✔ Understand how to apply the passive activity loss rules to real estate rental activity✔ Know how to report rental income and expenses

Instructor: Allen Margulis

An estate may have cancellation of debt (COD) income if, for example, a creditor of the estate fails to file a claim within the required filing period. If the estate is insolvent, that COD income may be excluded. This course discusses the general COD rules and how those rules may apply to an estate.

• Understand when an estate may have cancellation of debt income
• Know when cancellation of a debt owed to the decedent may be included in the gross estate
• Know when cancellation of a debt owed to a decedent constitutes income in respect of a decedent
• Understand the types of partial interest gifts that qualify for an income tax charitable contribution deduction or an estate tax charitable deduction
• Advise a client about estate tax planning opportunities to take advantage of the increased exclusion amount
• Recognize provisions in a trust that cause it to be treated as a grantor trust
• Understand how jointly owned property is included in the gross estate
• Calculate the basis in inherited property that was jointly owned
• Recognize when life insurance proceeds used for a redemption may be included in the value of a business for estate tax purposes