Courses

Surgent's Guide to Understanding the At-Risk Basis Rules and Forms 6198 and 7203

Register

Member Price: $99.00 Non-Member Price: $129.00

Date/Time:: Feb 10, 2025, 1:00pm–3:00pm
Developer:: SURGENT MCCOY SELF-STUDY CPE, LLC
CPE Credits:: Taxes: 2.00
Fields of Study:: Taxes
Level:: Intermediate

Many tax clients with losses from their S corporations, partnerships, and multiple-member LLCs treated as partnerships will want to use these losses to offset their other income from other sources. This program explains when, why, and how the at-risk rules apply to allow or to prevent the owner of a pass-through entity from taking a loss from a pass-through entity and using it to offset other income. This program is extremely helpful for anyone with pass-through entity clients.

Objective

Understand how a client determines his or her at-risk basis in his or her pass through entity
Understand how the at-risk basis calculation differs from a regular basis calculation
Calculate the amount of an investor's annual at-risk basis
Understand the structure of IRS Form 6198 and how it relates to calculating a taxpayer's at-risk basis

Highlights

Basis and at-risk basis
How to calculate the amount of annual at-risk basis
Forms 6198 and 7203
When activities may be aggregated for at-risk purposes
Qualified nonrecourse financing

Designed For

Any tax practitioner wishing to understand the at-risk rules and how they apply to losses allocated to the owners of pass-through entities

Prerequisite

A basic understanding of the tax rules relating to partner basis and S corporation shareholder basis

Advanced Preparation

None