Surgent's Advanced Partnership/LLC Workshop: How to Do Optional Step-Up in Basis Under 754 and Related Provisions - Download

Overview

This course explores the practical issues in the many instances in which a step-up in basis can create tax advantages for partners and members. This course includes case studies to illustrate the critical points.

Highlights

Identifying when an election to adjust basis will be available
Determining when the basis adjustment must be made or may be made without an election
Learning how to make the calculations to determine a step-up and allocate that step-up among partnership assets
Examining practical examples dealing with a sale of a partnership interest and the effects of §734(b)
Exploring the alternatives to electing a basis adjustment
Understanding a distribution of property and when an inside basis adjustment can be considered
Studying examples dealing with sale of assets vs. sale of partnership interests and issues with hot assets
Finding out how to keep track of the “books” for tax preparers when the inside basis adjustment is made, and how to flow through adjustments through a tax return and K-1

Prerequisites

Experience dealing with partnership and LLCs; one or more intermediate courses on partnerships and LLCs

Designed For

Accounting and Financial Professionals in public accounting who work extensively with LLC and partnership tax issues

Objectives

Distinguish the tax consequences of a partnership interest sale and of a partnership asset distribution with and without a §754 election
Identify circumstances when a §754 election may be beneficial
Calculate the basis adjustments to individual partnership properties when a §754 election is made