Webcast: S Corporations: Built-in Gains Tax (XCSCBG17)
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When an existing corporation is considering making the S corporation election, the potential corporate level "built in gain tax" ( IRC1374) is frequently the most important tax cost to evaluate. Focus on describing when and how the built in gain tax is determined. Discuss topics that include the application of multiple "limitations" on determining the tax and the potential use of existing corporate net operating losses and tax credits. Identify and evaluate tax planning ideas and strategies.

 Export to Your Calendar 8/4/2017
When: 08/04/2017
12:00 PM until 2:00 PM
Where: Webcast
CALCPA
4173332A
United States
Presenter: John G. McWilliams, CPA, JD


Online registration is available until: 8/2/2017
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Acronym XCSCBG17
CPE 2 hours
Vendor CalCPA
Category
Taxation
Level Overview
Prerequisite Understanding the basics of the taxation of corporations, S corporations and partnerships.
Adv Prep None
Yellow Book? No
Designed for CPAs and attorneys with at least two years of experience advising privately owned business.
Registration
Member $60
CPA Non-Member $94

The Member rate applies to LCPA members, other state society members, and non-CPA staff of LCPA members. To register online, use the ‘Register’ button above. To register by phone, call the LCPA Member Service Center at 800.288.5272 or 504.464.1040, Monday through Friday, 8am to 5pm.

Course Description

When an existing corporation is considering making the S corporation election, the potential corporate level "built in gain tax" ( IRC 1374) is frequently the most important tax cost to evaluate. Focus on describing when and how the built in gain tax is determined. Discuss topics that include the application of multiple "limitations" on determining the tax and the potential use of existing corporate net operating losses and tax credits. Identify and evaluate tax planning ideas and strategies.

Materials are provided as an ebook for this course.

Objectives

  • Identify when the built in gain tax could apply.
  • Calculate the built in gain tax including application of three "limitations."
  • Recognize the nature of the built in gain tax, "current mandatory double taxation."
  • Recognize tax planning techniques to minimize or eliminate the built in gain tax.

Major Topics

  • Identification of facts that could cause the imposition of the built in gain tax
  • The calculation of the tax on "net recognized built in gain" during "recognition period"
  • The meaning of "current mandatory double tax"
  • The aggregate limitation based on "net unrealized built in gain"
  • The limitation based on the "gain" that existed at conversion
  • The importance of valuation analysis at conversion
  • The taxable income limitation
  • Using existing corporate net operating losses and tax credits
  • Tax planning ideas and strategies to minimize or avoid the tax on built in gain