Surgent's Forms 1120-S and 1065 Return Review Boot Camp for New and Experienced Reviewers

Overview

Most review techniques developed by professionals are self-taught and fine-tuned via experience. Yet how does one start? The purpose of this course is to give both new and seasoned reviewers additional and advanced procedures via a multitude of checklists to more thoroughly review S corporation and partnership tax returns. Its emphasis is not planning; rather, it is to develop a strategy to properly review a return effectively and thoroughly. The course includes dozens of “practice tips for new reviewers” and is updated for impacts of newly enacted legislation.

Highlights

• Reviews of portions of error-prone “staff-prepared” Forms 1120-S and 1065 from client-provided information
• Be aware of legislative changes
• How to reduce input errors. When and how to rely on third-party data import software
• What are common errors preparers make and what are the areas generating malpractice claims?
• Initial administrative groundwork
• The importance of Schedule M-1. Learn how various schedules are related and learn how to self-review
• Overview of new Schedules K-2 and K-3
• Don’t fall prey to reporting oddities
• When can seemingly separately stated Schedule K items actually be trade or business items to report on Forms 1120-S or 1065?
• Form 1120-S – What exactly is terminating S elections today? How do I recognize a second class of stock? Maintaining shareholder basis schedules; beware of final IRS regulations regarding “open debt”; the default method of calculating basis versus the election under §1367; can an S corporation distribute earnings and profits from C corporation years?
• Form 1065 – New tax reporting requirement for partners’ capital balances
• Why use §704(b) to maintain capital accounts; §704(c) regulations for preventing the shifting of tax consequences among partners or members; allocating recourse, nonrecourse, and qualified nonrecourse debt; a review of §754 step-up in basis rules
• Discussion of more complex transactions included in corporate structures
• Multiple checklists of efficient procedures to identify potential issues on an 1120-S or 1065 tax return

Prerequisites

Experience in preparing Forms 1120-S or 1065, reviewing diagnostics, and preparing workpapers

Designed For

Senior-level staff new to the review process or experienced staff members looking to update and/or expand their review procedures

Objectives

• Expand the process involved in reviewing applicable tax returns
• Identify the most common areas that result in errors
• Document a review, including consideration of risk management

Preparation

None

Notice

This course is provided by a third-party vendor. Please note that login instructions will not be available in the ‘My Upcoming CPE’ section of the NESCPA website. Instead, the login instructions will be sent directly to you via email by Surgent. Upon completing the course, your hours will be recorded in the ‘My CPE Tracker’ section of the NESCPA website.