Product Image

Innovative Tax Planning for Small Businesses: Corporations, Partnerships & LLCs

Author/Moderator: William R. Bischoff, MBA, CPA
Publisher: AICPA
Availability: 05/31/2008
See Below To Add To Cart

Description

This information-packed course showcases state-of-the-art planning ideas and tax-saving devices employed by the savviest practitioners in order to keep more profits in the pockets of your corporate clients and business owners. This course helps you offer your clients quality service.

Objectives:
  • Understand the unique tax problems affecting corporations
  • Identify savings opportunities and pinpoint tax traps
  • Explain changes in each client’s tax situation
  • Planning under the recent Tax Acts

Prerequisite:  Basic knowledge of corporate income taxation.

Accepted for CFP® credit.

Table of Contents

  • Innovative Tax Planning for Small Businesses: Corporations, Partnerships & LLCs
    • Chapter 0
    • Overview
      • Course Goals
      • Introduction
      • Conclusion
    • Chapter 1
    • Corporate Tax Trends
      • Learning Objective
      • Introduction
      • Planning Strategies Opened Up by the Jobs and Growth Tax Relief Reconciliation Act of 2003
        • Background on the 2003 Act
        • New Strategies for Closely Held C Corps
      • INDOPCO Trends
        • Implications
        • INDOPCO Rulings
        • Other Recent Court Decisions and Developments
        • Conclusions
      • Final Section 263(a) Regulations Settle Many INDOPCO-Related Controversies
        • Amounts That Generally Must Be Capitalized
        • Acquired Intangibles for Which Capitalization Is Required
        • Created Intangibles for Which Capitalization Is Required
        • Other Intangibles Generally Must Be Separate and Distinct Assets for Capitalization to Be Required
        • Certain Transaction Costs Must Be Capitalized
        • Coordination of Section 263(a) Regulations with Rules for Accrual-Method Taxpayers
        • Separate Capitalization Rules for Amounts Paid to Facilitate Acquisitions, Restructurings, Contributions to Capital, Formations of Disregarded Entities, Etc.
        • Take Advantage of Taxpayer-Friendly Loopholes
        • Tax Treatment of Capitalized Amounts
        • Impact of Section 263(a) Regulations on Pre-opening Expenditures Incurred to Internally Start Up a Brand New Business
        • Impact of Section 263(a) Regulations on Pre-opening Expenditures to Internally Expand an Existing Business
        • Impact of Section 263(a) Regulations on Pre-opening Expenditures Incurred In Connection with Same-Line-of-Business Acquisition
        • Tax Compliance Drill for Pre-opening Expenditures Incurred to Expand Existing Business (Internally or Via Acquisition)
        • Impact of Section 263(a) Regulations on Pre-opening Expenditures Incurred in Connection with Acquisition of Dissimilar Business
        • Tax Compliance Drill for Pre-opening Expenditures Incurred in Connection with Acquisition of Dissimilar Business
      • Real Estate Development and Capital Gains
        • Capital Gains from Selling Out
      • SE Tax on LLC Members
      • More on Unincorporated Businesses and the SE Tax
        • SE Tax Planning in Community Property States
        • Unincorporated Businesses in Non-community Property States
      • What About S Corporations?
      • New Evidence of IRS Interest in This Question
      • Conclusions
      • What About C Corporations?
      • Tax-Free Education Assistance for Owner's Employee-Child
        • Qualification Rules
        • Dodging the Ownership Rules
        • Effect on Financial Aid Eligibility
        • Additional Benefits from Other Education Breaks
      • Do Not Let the IRS Jam Accrual Accounting Change Down Clients' Throats
        • Recent (Mostly Favorable) Developments
        • Concrete Is Not "Merchandise"
        • Sand and Gravel Is "Merchandise" (Unless Tax Planning Saves the Day)
        • Two Exceptions Allow Cash Method for All Who Qualify
      • S Versus C Debate in Light of Recent Tax Cuts
        • The Bottom Line
      • Highlights for Small Businesses from the American Jobs Creation Act of 2004
        • Stricter Rules for Nonqualified Deferred Compensation Plans
        • Exercises of Statutory Stock Options and Dispositions of Option Stock Now Exempt from Federal Payroll Taxes
        • New Rules for Donations of Patents and Similar Intellectual Property
        • FSC/ETI Regime of Tax Breaks Is Repealed in Stages
        • New Deduction for Domestic Production Activities Is Phased in Between 2005 and 2010
        • New Rules for Foreign Activities
        • Extension of Favorable Section 179 Deduction Rules
        • $25,000 Maximum Section 179 Deduction for SUVs
        • 15-Year Depreciation Rule for Qualified Leasehold Improvements
        • 15-Year Depreciation Rule for Qualified Restaurant Property
        • New Rules for Business Start-Up and Organizational Costs
        • Curtailed Deductions for Owner and Executive Entertainment and Recreation Costs (Including Personal Use of Company Planes)
      • Summary
    • Chapter 2
    • Implementing a Tax Planning System
      • Learning Objectives
      • Introduction
      • A Life Cycle Approach
        • Understanding the Problem
        • The Life Cycle Approach
        • Major Phases
      • Understanding the End Game
        • Maximizing After-Tax Cash Flow
        • Get It While You Can
        • Nonstatutory vs. Statutory Benefits
        • Schedule E Income
        • Salary Plans
        • Retirement Plans
        • Family Business Structure
        • Maximizing Equity Growth
        • Create Transferable Value (Goodwill)
      • Putting It All Together
      • Summary
    • Chapter 3
    • Start-Up Issues
      • Learning Objective
      • Introduction
      • Directions
      • Part 1 - Case Study
        • Case 3-1 - Mom's Creamery
      • Part 2 - Toolkit Choice of Business Form
        • Sole Proprietorships
        • Single-Member Limited Liability Companies
        • C Corporation Pros and Cons
        • Qualified Small Business Corporations (QSBCs)
        • S Corporation Pros and Cons
        • Multi-Member LLC Pros and Cons
        • Limited Liability Partnership (LLP) Pros and Cons
        • General Partnership Pros and Cons
        • Limited Partnership Pros and Cons
        • State Taxation
      • Formation Issues
        • §§351 and 357 for C and S Corporations
        • §1367 - S Shareholder Basis
        • Do Not Give Away the Intangibles
      • Hiring Family Members
        • By Sole Proprietors, Partnerships, and LLCs
        • By a Family-Owned Corporation
      • Including Debt in Corporate Capital Structures
        • Third-Party Debt
        • Owner Debt
        • How to Ensure That Owner Debt Is Respected as Such
        • Unconditional Promise to Pay
        • Subordination
        • Debt/Equity Ratios - The "Thin Capitalization" Issue
        • Convertibility
        • Proportionality
        • IRS Notice 94-47
      • Summary
      • Questions
    • Chapter 4
    • Special Tax Considerations of Operations
      • Learning Objectives
      • Introduction
      • Compensating C Corporation - Shareholder-Employees
        • What Is Reasonable?
        • Reasonable Compensation Checklist
        • Reasonable Compensation Court Decisions
        • Conclusions
      • Retirement Plan Options for Small Business Owners in a Nutshell
        • The Basics
        • Solo 401(k) Plan
        • Simplified Employee Pension (SEP)
        • Defined Contribution Keogh and Corporate Profit-Sharing Plans
        • SIMPLE-IRA
        • Defined Benefit Pension Plan
        • All About Solo 401(k) Plans
      • Benefits of Buy-Sell Agreements
        • What Is a Buy-Sell Agreement?
        • How Do They Work?
        • The Three Types of Buy-Sell Agreements
        • Funding Buy-Sell Agreement Purchase Obligations
        • Including Tax-Saving Terms in Buy-Sell Agreements
        • Estate Planning Benefits
        • Ensuring Buy-Sell Agreements Deliver the Expected Estate Planning Benefits
      • Converting a Corporation into an LLC (or LLP)
        • Watch Out for Goodwill and Other Intangibles
      • Depreciating Property Converted from Personal Use to Business Use (And Vice Versa)
        • Conversion from Personal Use to Business Use
        • Conversion from Business Use to Personal Use
        • When Change In Use Results in Different Recovery Period and/or Different Depreciation Method
        • Shorter Period and/or Faster Method After Change in Use
        • Longer Period and/or Slower Method After Change in Use
        • Effective Dates for Change-In-Use Regulations
      • Heavy Tax Savings Still Available for Heavy SUVs, Pickups, and Vans Used over 50% for Business
        • Clients Can Take Advantage of Better Depreciation Rules for Heavy Vehicles
        • Reduced $25,000 Section 179 Deduction for Heavy SUVs Placed in Service After October 22, 2004
        • Despite $25,000 Limitation, Depreciation Rules for Heavy SUVs Are Still Favorable
        • Don't Forget Section 179 Taxable Income Limitation
        • Don't Forget Section 179 Deduction Phase-out Rule
        • Mind Stricter Rules for Corporate-Owned Vehicles
        • Other Section 179 Caveats
        • Clients Must Plan Ahead to Preserve Section 179 Tax Savings for Heavy Business Vehicles
      • Summary
    • Chapter 5
    • Business-Exit Considerations
      • Learning Objectives
      • Introduction
      • Dispositions of the Business
        • Buyer Perspective
        • Seller Perspective
        • Flow-Through Advantage
        • Tax Impact of Corporate Liquidations
        • Tax-Wise Corporate Asset Sales
      • Sale of an Ownership Interest
        • Sale of Partnership Interest
        • Sale of S Corporation Stock
        • Best of Both Worlds - Stock Sale Treated as Asset Sale for Tax Purposes
        • Sale of C Corporation Stock
      • Selling Out to a Leveraged ESOP
      • Planning for Stock Redemptions by Family Corporations
      • Buying Out Spouse's Business Ownership Interest in Divorce
      • Divorce-Related Redemption of Corporate Stock
        • Scenario 1: Redemption Is Not Constructive Distribution to Non-Transferor Spouse
        • Scenario 2: Redemption Is Constructive Distribution to Non-Transferor Spouse
        • Election to Reverse the Tax Results
        • Election Timing Requirement and Effective Date Rules
      • Tax Planning Opportunities with Covenants Not to Compete
        • Tax Benefits of Minimizing Allocations to Covenants
        • Tax Benefits of Maximizing Allocations to Covenants
        • When Can a Covenant Be Supported?
      • Primer on Family Limited Partnerships (FLPs) and Family Limited Liability Companies (FLLCs)
        • What Are FLPs and FLLCs?
        • Estate and Gift Tax Issues
        • Avoid IRC Section 2036(a) Problems
        • Protect the Annual Gift Tax Exclusion
        • Federal Income Tax Issues
        • Impact of Recent Estate and Gift Tax Changes
        • Asset Protection Advantages
        • Practical Considerations
        • Conclusions on FLPs and FLLCs
      • Questions
    • Chapter 6
    • Ethics Focus: Taxation
      • Ethics Overview
      • Interpretation 101-3
      • Key Ethical Dilemmas and Judgment Calls
      • Addressing Ethical Dilemmas
      • Available Resources
    • Chapter 7
    • Latest Developments

Excerpts

Videocourse Details

NASBA Field of Study: Taxes
Level: Intermediate
Recommended CPE Credit: 16
Important Information on Your CPE Credit
Text
Product# 745521
Availability:05/31/2008
Regular:$193.75
AICPA Member:$155.00
Your Price:$193.75
To receive your AICPA member discount, Sign In now, or Register using your AICPA membership number.
Choose the Standing Order Option and get these discounts on your initial purchase:

Publications--10% discount
CPE Self-Study--20% discount

Each new future annual edition will then be automatically shipped to you at a 10% discount.