Overview
You should attend this program because it will discuss in a practical way how a partner or member's basis in a partnership (or LLC treated as a partnership) is calculated. This topic is particularly important for any tax practitioner who deals at even a basic level with partnership distributions of cash and property and/or the sale of a partnership interest. The concept of basis is fundamental to an understanding of almost all aspects of partnership taxation.
Note: The Section 754 election and concomitant basis adjustments are not covered in this program. However, those topics are discussed in detail in S754, Section 754 Step-Up in Basis: Understanding the Tax Issues for Partnerships and LLCs. For information on this and other webinars, please contact Surgent.
Major Topics:
- How to determine partner basis in a partnership or multiple member limited liability company treated as a partnership
- Specific positive and negative partner/member basis adjustments
- The ordering rules for making multiple basis adjustments
- The treatment of recourse and nonrecourse liabilities as components of basis
Learning Objectives
- Understand how a partner/member determines his or her basis
- Identify and understand the specific negative and positive adjustments to a partner's basis and the ordering rules applicable to such adjustments
Designed for:
Any tax practitioner with partnerships, multiple member LLCs or partners/members as clients
Prerequisite:
Basic understanding of tax rules relating to partnerships and partners
Advanced Preparation:
None