Concept
Partnership Basics
Form 1065 information return. K-1 to each partner. Basis = contributions + income - losses - distributions + share of liabilities.
PostedUpModule Details
REGLesson 2 of 3
Partnership & S Corp Taxation
Key Point
S Corp Basics
Form 1120-S. K-1 to shareholders. Reasonable compensation required. One class of stock. Basis does NOT include entity debt.
Concept
Loss Limitations
Four hurdles in order: basis limitation, at-risk limitation, passive activity limitation, excess business loss limitation. Suspended losses carry forward.
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Practice questions from this module to reinforce what you learned.