Passive Loss and At-Risk Rules ON DEMAND

Overview

The complexity of Section 469 passive loss limitation rules presents a formidable challenge for both taxpayers and CPAs. This course tackles the intricate nuances of these rules, which often perplex practitioners with their myriad deductions, disallowances, and suspensions. This self study CPE course explores the problem by underscoring the need for expert guidance in navigating these convoluted provisions. The solution is provided through an in-depth exploration of Section 469, equipping participants with essential skills to address practical issues. The course focuses on reviewing fundamentals, identifying planning opportunities, and exploring both creative and traditional tax-saving strategies. This results in a comprehensive understanding and efficient handling of client issues related to Section 469, with a strong emphasis on maximizing tax savings.

Highlights

Passive loss and at-risk rules. Material participation. Passive and non-passive activities. Carryover of disallowed losses.

Prerequisites

None.

Designed For

CPAs.

Objectives

Identify affected taxpayers, categories of income and loss and passive losses under Section 469 and necessary Section 469 calculation steps and specify the Section 469 & Section 1211 limits and the ordering and suspension of any disallowed losses. Recognize a taxpayer’s material participation in an activity. Identifying “nested” activities. Identify special passive loss rules and calculations. Specifying recharacterization rules and their purpose. Recognize the passive activity audit guidelines identifying audit issues, determine the real estate rental activity credit exception, and cite the at-risk limit rules as they relate to Section 469.

Preparation

None.

Notice

None.