Reviewing Partnership Tax Returns: What Are You Missing?

Overview

Ways to avoid common errors

A thorough review can spot errors that are commonly missed during the preparation of a partnership or LLC return.

Course materials are designed to sharpen your reviewer skills by examining case studies and discussing complex LLC and partnership issues often missed by staff tax return preparers.

Four case studies, four opportunities to apply your reviewing skills

The course’s case study-based approach is designed to increase comprehension and retention.

Each case includes a narrative and a full 2025 tax return, developed to include the effects of H.R. 1, commonly referred to as OBBBA. Learners are encouraged to spot errors made in the returns and potential areas for improvement.

Partnership tax filing requirements

Course materials discuss the filing requirements for Schedules K-2 and K-3, including the availability of the domestic filing exception.

Highlights

Common errors made involving the following:

Form 1065

Schedules K and K-1

Schedules M-1 and M-2

Calculating recourse and nonrecourse liabilities

Partner inside and outside basis

Partner's capital account analysis

Sections 704(b), 704(c), 721, 722, 732(b), 734(b), 737, 743(b)

Prerequisites

Experience with partnership tax return preparation

Designed For

Partners and managers in CPA firms

Experienced CPA staff

Objectives

Identify the mechanics of a partnership's tax return, including partner capital account calculations and permissible tax years.
Determine the proper allocation of recourse liabilities among partners.
Analyze the consequences of a new partner joining a partnership.
Determine depreciation expense among the contributing and noncontributing partners under Section 704(c).
Determine the value of assets with nonrecourse liabilities.

Credits

Level

Code

Vendor

Fields of Study

Leader(s):

Larry Tunnell, AICPA
Robert Ricketts, Director, School of Accounting, Texas Tech University

Leader Bios

Robert Ricketts, Director, School of Accounting, Texas Tech University

Robert Ricketts, CPA, PhD, is the director of the School of Accounting and the Frank M. Burke Chair in Taxation at Texas Tech, where he has taught in the graduate tax program for the last 25 years. He is the co-author, with Larry Tunnell, of CCH’s Practical Guide to Partnerships and LLCs, now in its sixth edition, as well as a series of courses on the taxation of partnerships and LLCs for the AICPA.

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