2024 February Solutions Room: Pass Through Entity Tax

Thank you

This live web event has ended. Thank you for attending.

Description

2024 February Solutions Room: Pass Through Entity Tax
IRS Program #: X9QQU-T-01107-24-O
CTEC #: 6257-CE-0274
CE: 1 IRS & 1 CTEC credit
Speaker: Allan (AJ) Reynolds, EA

December 22, 2017 the Tax Cuts & Jobs Act (TCJA) passed and imposed a $10,000 limitation on the deduction of state and local taxes (SALT) for tax years 2018 through 2025.

November 9, 2020 IRS issued Notice 2020-75, which announced rules regardingclarification that state and local income taxes imposed on and paid by Pass-Through Entities will be allowed as an ordinary and necessary deduction in computing its non-separately taxable income or loss for the taxable year of such payment. Hence, these payments will not be subject to the SALT limitations.

The course will present tax professionals with up-to-date valuable knowledge on this PTET and how these rules impact their clients who operate pass-through entities (PTE).

Learning Objectives:

Evaluate the provisions of Notice 2020-75.
Analyze rules regarding specified income tax payments (SITPs).
Importance of ensuring your PTE to advantage of PTET elections.
Overview of what states do and do not have a PTET.
Examine which entities can take advantage of these rules.
Extrapolate how PTET can provide other tax savings.

Contributors

Allan (AJ) Reynolds, EA

A.J. has immense experience in various areas of taxation, which encompasses over 30 years. His practice centers on individual, business, and estate tax preparation. In addition, A.J. specializes in IRS audits, appeals, collections and other tax representations. He speaks for multiple organizations and brings his everyday “in the trenches” experience to assist attendees with real issues affecting tax professionals. A.J. started his tax career with a national CPA firm in San Diego, CA after proudly serving five years in the U.S. Navy.