The best laid plans of mice and men often go astray, the same is true for taxpayers. Every practitioner has been confronted with a client who had a different twist on a tax idea. This course focuses on the law in order to break down 25 situations in which a taxpayer has attempted to push one of these ideas. The study of the law underlying the tax mistakes made will assist practitioners in satisfying their professional standards of practice and will help you in preparing Form 1040.

Major Topics:

  • Applicable coverage of recent tax acts and any new legislation enacted before presentation
  • Individual income tax cases regarding income, adjustments, passive activities, and itemized deductions
  • Problems with a $10 million tip -- It could happen to you
  • No deduction for donating a house to fire department
  • The last known address rule
  • Failing to coordinate Pell grants and other scholarships
  • I want to protect my identity, but I also need to protect my PTIN
  • Failing alimony’s written instrument requirement
  • Failing to understand the limits on 401(k) loans
  • Bankruptcy trustees going after IRAs
  • Failure to report income witnessed by 20 million people
  • Passive income and the self-charged rent rules
  • Form 8938 for reporting foreign financial assets and updated rules. How much trouble results in not filing a FinCEN Form 114?
  • Financial planning -- Ignoring the future of Social Security; Miscues in rollovers & retirement plan distributions, The bad, the good, and the ugly of early retirement SEPPs

Learning Objectives:

  • Achieve significant insight into the major mistakes that can be made in individual tax and financial planning
  • Develop strategies that will assist in not only avoiding mistakes but also in providing the best advice to your clients

Designed For: CPAs who wish to get a deeper insight into underlying tax law for some common client transactions that many offices have seen, plus some not so common client transactions
Level of Knowledge: Intermediate
Prerequisite: Basic knowledge of individual income taxation
Advanced Preparation: None
Credits: 4