Tax Loss Limitations Imposed on Individuals and Pass-through Entities

Overview

Tax practitioners advising their business clients must be fully informed regarding the multiple loss limitation provisions that apply to individuals conducting businesses and pass-through entities. This program covers the loss limitation rules that tax practitioners must know in order to advise their individual and pass-through entity clients fully and adequately as to when and if a loss limitation applies. The loss limitations discussed in this program start with an introductory discussion of hobby loss rules and graduate to a more substantive discussion of the remaining loss limitations: basis limits, at-risk rules, passive loss limits, excess business loss limits, net operating losses, and the Section 163(j) interest limitation. Knowing when loss limits apply is essential for any tax practitioner. This program will put you in a position to advise clients fully and intelligently regarding each of the loss limits.

Objectives

Recognize the impact of partner/S corporation's shareholder basis on the ability to take losses

Advise clients regarding the taking of losses from pass-through entities

Highlights

How to calculate a partner or S corporation shareholder's basis

Form 7203 and an S corporation shareholder's basis

The at risk basis rules and Form 6198

The passive activity loss limits

The Section 461(l) loss rule

The net operating loss limitation rules

The Section 163(j) business interest limitation

Designed For

Any practitioner who will be advising clients regarding taking losses from pass through entities

Prerequisites

None

Preparation

None

Notice

By registering for this program and, accordingly, receiving the eMaterials, you’re acknowledging that you understand both the copyright restrictions on your eMaterials and the CTCPA cancellation policy. https://www.ctcpas.org/events/cpe-policies

Fees

Credits

Level

Code

Vendor

Fields of Study

Leader(s):

William Dowis, Surgent McCoy CPE, LLC

Leader Bios

William Dowis, Surgent McCoy CPE, LLC

Brian Dowis is an associate professor of accounting at Georgia Southern University. He taught his first course for Surgent in the fall of 2022. He is currently a CPA licensed through the state of North Carolina. He received his bachelor’s degree from Coastal Carolina University where he studied accounting and played on the tennis team. He next enrolled at Clemson University, receiving his Master of Professional Accountancy with a taxation concentration before he began working at Ernst and Young, LLP in the Charlotte office. He later took an accounting teaching position at Southeastern University and completed his Doctorate in Business Administration, majoring in accounting at Louisiana Tech University. In 2015, he started teaching at Georgia Southern University. Since he began teaching at Georgia Southern University, Brian has taught about the taxation of corporations and partnerships, taxation of pass-throughs, estate taxation, multijurisdictional taxation, tax research, principles of financial accounting, and principles of managerial accounting. His primary area of research concerns the U.S. Tax Court. He has published articles within many well-known journals, including Advances in Taxation, Advances in Accounting Behavioral Research, Journal of Taxation, Real Estate Taxation Journal, and Taxes: The Tax Magazine, to name a few.

Return to Top