Income Taxation of Individuals. Inclusion in income. Offsetting liabilities. Gifts and bequests. Life insurance, annuities and employee death benefits. Compensation for personal injuries and sickness. Employee benefits. Interest on state and local obligations. Expenses incurred in business and profit-oriented activities. Cost recovery, depreciation and amortization. Loss transactions. Business operating deductions and tax shelter deductions. Personal exemptions and itemized deductions. Interest on indebtedness. Taxes. Bad debts. Casualty losses. Charitable contributions. Medical expenses. Realization of gains and losses. Sales of property. Non-recognition transactions. Capital gains and losses. Assignments of income. Grantor trusts. Deferred compensation.
Income Taxation of Trusts and Estates. Computation of taxable income and tax liability. Distributable net income. Allocation of tax among beneficiaries. Current distributions. Grantor and controlled trusts. Powers to revoke or control trust. Retained interest in trust income. Administrative powers. Beneficiary-controlled trusts. Foreign trusts. Charitable trusts. Income in respect of decedents. Procedure, administration and compliance.
Corporate Taxation. Elections under Subchapter S. Debt vs. equity. Undistributed corporate income. Dividends and non-liquidating distributions. Stock redemptions. Liquidations and stock distributions. Divisions and reorganizations.
Taxation of Subchapter S Corporations. Eligibility. Election of Subchapter S status. Termination of Subchapter S status. Organization, capitalization and shareholder agreements. Taxation of income, losses, deductions and credits. Distributions. Basis of stock and debt. Compensation. Reorganizations and divisions. Liquidations, redemptions, sales and purchases. Procedural matters.
Real Estate Taxation. Residential real estate. Purchase, ownership and sale of residence. Leases. Acquisition, disposition and improvement of leaseholds. Operating expenses, taxes and depreciation. Mortgage and Equity Financing. Financing, settlement and foreclosure. Sales, Exchanges and Conversions. Installment sales. Exchanges. Involuntary conversions. Tax Planning. Development and ownership of residential real estate. Increasing deductions in realty operations. Tax planning for sales.
Transfer Taxes. Estate Tax. Imposition. Credits. Gross estate. Taxable estate. Estates of non-resident aliens. Gift Tax. Determination of liability. Transfers subject to tax. Gift tax deductions. Generation Skipping Transfers.
Income Taxation of Partnerships and Partners. Defining partners and partnerships under Subchapter K. Acquisition of partnership interests. Contributions of property and services. Determining the basis of a partner’s partnership interest. Basis consequences of partnership liabilities. Tax accounting for partnership operations. Partners’ distributive shares. Partner allocations. Termination of partnership. Sales, exchanges and transfers of partnership interests. Partnership distributions. Death or retirement of partner. Adjustments to partnership basis.
NEW TAX LEGISLATION
TAX CUTS AND JOBS ACT
EFFECT ON INDIVIDUALS GENERALLY:
EFFECT ON BUSINESSES GENERALLY:
EFFECT ON TRUSTS AND ESTATES:
EFFECT ON CORPORATIONS:
EFFECT ON CHARITABLE DONORS:
Wills and Trusts