The Section 199A deduction for qualified business income was widely regarded as the most complicated and least understood topic of The Tax Cuts and Jobs Act. Now, the IRS has just released almost 200 pages of regulations on this statute. These regulations are designed to provide much needed computational, definitional, and anti-avoidance guidance regarding the application of Section 199A. It is critical that tax practitioners understand the details of this provision now, so that their clients can take advantage of the enormous planning opportunities it offers. This 4-hour course provides the comprehensive coverage necessary to understand this complex guidance.
- Operational rules for calculating the Section 199A deduction
- Definitions that apply for purposes of the Section 199A deduction
- Computation rules and examples for individuals whose taxable income does not exceed the threshold amount
- Computation rules and examples for individuals whose taxable income exceeds the threshold amount
- Calculating the deduction for taxpayers with taxable income within the phase-in-range
- What is a specified service trade or business?
- Special rules for pass-through entities, SE tax, and net investment income tax
- Treatment of non-calendar year taxpayers
- Guidance on methods for calculating W-2 wages for purposes of Section 199A
- Requirements for aggregation of separate trades or businesses
- Anti-abuse rules targeting use of trusts
- Understand how the 20% deduction for pass-through entity owners works
- Implement the benefits of this deduction for income tax returns
All tax practitioners who anticipate advising clients with respect to the Section 199A 20% deduction
A basic understanding of the federal tax rules relating to individuals and businesses