© Phoenix Beach, LLC
Training for Business Professionals
Stock & Debt Basis Calculations for S Corporation Shareholders
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This comprehensive training is designed to get the accountant up to speed quickly on basis calculations and distribution planning for the owners of an S corporation.
Once participants have completed this session they should be able to:
• List the 3 main reasons for calculating a shareholder’s basis in a S corporation
• Calculate the stock and debt basis for S corporation shareholders
• Review the Form 1120S Schedule K-1 to determine how the line items affect basis calculations and get reported on the individual owner’s Form 1040
Topics include but are not limited to:
• Line-by-line analysis of the Schedule K-1 to determine how the items affect a S shareholder’s stock and debt basis and where the items get reported on Federal individual income tax return
• The three loss and deduction limitations on the owner’s individual income tax return (i.e. basis, at-risk and other Form 1040 limitations)
• How cash or non-cash distributions affect the basis calculations and whether or not they are taxable to the owners
• Calculating the tax treatment of the sale of a shareholder’s stock in a S corporation
• What constitutes debt basis for a S corporation shareholder under the final regulations
• The tax ramifications of repaying loans to S corporation shareholders and on open account debt
Who Should Attend?
Tax professionals that need an in-depth training on basis calculations and distributions rules for S-Corporations shareholders
Area of Study:
Basic understanding of individual income taxation
Group Internet Based