Tax Strategies for Partnerships Part 1: Formation, Purchase, and Sales of Partnership Interests (Completed)

Date: Tuesday, May 18, 2021
Instructor: Greg White
Begin Time:  9:00am Pacific Time
10:00am Mountain Time
11:00am Central Time
12:00pm Eastern Time
CPE Credit:  2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC

Join expert Greg White, CPA, as he discuss tax strategies for minimizing gain when forming a partnership. He will also cover considerations in drafting a “mandatory tax distributions” provision so that your clients don’t end up with “phantom income.” You’ll also learn how to maximize the tax effects of purchasing a partnership interest and selling a partnership interest.

Topics Covered

  • What business arrangements constitute a partnership for federal tax purposes
    • And why is it crucial to understand this
  • Partnership basis rules
    • Using the "liability netting" rules to avoid gain on the formation of a new partnership
  • Reduce the chances that your client will end up with "phantom income"
    • Considerations in structuring a "mandatory tax distributions" provision
  • Picking the best §704(c) allocation method for your client
  • Computing bonus depreciation on partnership step-ups under §743
  • Qualifying for a §199A deduction when your client sells their partnership interest

Learning Objectives

  • Recognize how to protect your clients from phantom income based upon a mandatory tax distributions provision
  • Identify which income qualifies for the §199A QBID when selling a partnership interest


Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites

Advance Preparation

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