Making The Best of Bad Situations ON DEMAND

Overview

This course will teach participants how to apply, implement, and evaluate the strategic tax aspects of marital dissolutions and living together arrangements. Current perspectives on property transfers, asset divisions, alimony, filing status, exemptions, and child support are examined with an emphasis on planning considerations. The cancellation of indebtedness income inclusion rules are examined in the context of debt forgiveness and property foreclosure. Emphasis is given to the exceptions from income inclusion contained in Section 108. The tax treatment of property repossession under Section 1038 is explored with detail given to the calculation of gain and received property basis. Finally, bad debt treatment under Section 166 is reviewed and critical distinctions are made between business and non-business debts.

Highlights

Basic marital tax matters. Transfers incident to divorce. Spousal and child support. Avoiding tax on debt cancellation and foreclosure. Repossession. Bad debts.

Prerequisites

None.

Designed For

CPAs.

Objectives

Specify the factors used to determine federal filing status and the effects of filing as married or unmarried. Identify the requirements for filing a joint return and how to avoid being penalized. Determine the key elements of filing separate returns including what items to report and identify whether or not married taxpayers should file separate returns. Cite the requirements for filing as head of household and the tax advantages and disadvantages of this filing status, and more.

Preparation

None.

Notice

None.