Choice of Entity: How the TCJA (2017 Act) May Affect Your Decision Self-Study Webinar (4 Hours)

Overview: 

Along with a major cut in corporate tax rates and a modest reduction in individual rates, the Tax Cuts and Jobs Act of 2017 includes complex rules for a potential tax deduction for owners of pass-through entities, and rule changes for corporations conducting business overseas. The result: business owners are left wondering whether they’re operating through the most efficient type of entity. In this revealing self-study webinar, an expert will explain the effects of the tax act’s sweeping changes for filing entities. From a standpoint of lower taxation, you’ll explore:

  • The importance of choosing or changing the type of entity for tax considerations
  • The pros, cons and legal issues with each entity type
  • The differences in taxation
  • The ramifications of flexible allocations
  • The tax consequences of an eventual sale of an entity
Objective: 

To ensure tax accountants and financial professionals gain a clear understanding of the impacts of the Tax Cuts and Jobs Act of 2017 on filing entities. This self-study webinar will provide detailed insights on the pros, cons, and legal issues of various entity types—as well as changes in tax rates—to empower you to select the most efficient entity for your operation.

Emphasis: 
  • Operating through the most efficient type of entity for tax considerations
  • Legal issues with each entity type
  • Specific pros and cons for filing entities
  • The differences in taxation for type of entity chosen
  • The effects of the new tax act
    – The decrease in corporate tax rates
    – Section 199 deduction
    – Change in individual tax rules, including tax rates
    – Impact on sales and liquidations

Identify the primary characteristics of the various types of entities

Recognize the pre-TCJA primary advantage of incorporation as a C Corporation

Recognize the tax treatment of single member LLCs

Identify the entity historically providing payroll tax savings for owners

Identify entity conversions that are generally tax free upon conversion

Recognize the time threshold for triggering the “built-in gain” tax following a C Corporation election to S Corporation

Identify the tax consequences and exceptions to those consequences upon the contribution of property in exchange for a partnership interest

Recognize the formula for calculating the Section 199A deduction

Recognize those items taken into account when computing QBI

Recognize the role of compensation in calculating the Section 199A deduction

Recognize the role of the taxable income thresholds in calculating the Section 199A deduction

Identify the effect of an S Corporation’s “reasonable compensation” in calculating the Section 199A deduction
 

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Price: 
$129.00
Prerequisite: 

None.

Preparation: 

No advance preparation required.

Level of Knowledge: 

Overview.

CPE Credit: 
4.00
NASBA Field of Study: 
Taxes