Fundamentals of Form 1040 -- Business

Overview

This course builds on the foundational knowledge from Part 1, Fundamentals of the 1040 - Core Concepts. It expands into business income taxation and additional reporting requirements. Participants will learn how to accurately report self-employment income, income from pass-through entities on Form 1040. This course covers Schedule C, Schedule E, and essential forms such as Form 7203 and Form 7217 to ensure accurate tax preparation for clients with business activities.

This event may be a rebroadcast of a live event and the instructor will be available to answer your questions during the event.

Highlights

The major topics that will be covered in this course include:

• Self-employment and business income taxation (Schedule C, self-employment tax, business deductions)
• Reporting income from pass-through entities (Schedule E, Schedule K-1, Shareholder stock and debt basis on Form 7203)
• Application of Form 7217 for capital construction funds
• Best practices for self-employed clients and small business owners
• Key deductions and credits for business owners
• Avoiding common IRS audit triggers related to business income reporting
• Legislative updates impacting business income taxation in the current year

Prerequisites

Fundamentals of the 1040

Designed For

CPAs, EAs, tax professionals, Tax Attorneys, Paralegals

Objectives

After attending this presentation, you will be able to...

• Analyze Schedule C to determine business income, deductions, and self-employment tax implications
• Interpret Form 7203 to determine shareholder stock and debt basis for S corporation shareholders
• Analyze and apply the reporting requirements of IRS Form 7217, including determining a partner’s basis in distributed property
• Calculate self-employment tax and apply deductions related to business expenses
• Implement preparer best practices to avoid common IRS audit triggers
• Apply tax rules for reporting pass-through entity income on individual tax returns
• Assess legislative updates affecting business income reporting for the current year

Preparation

None