Tuesday, Nov 12, 2019
8:45am – 12:15pm
The new IRC section 199A provides annual federal income tax deductions to owners of pass-through businesses of up to 20% of their net business income and is tremendously important to tens of thousands of Massachusetts business owners. However, at least 30% of the tax preparation clients of Massachusetts CPAs must radically restructure their federal tax regimens and their business and personal arrangements in order to maximize their section 199A deductions. Massachusetts CPAs have a stringent duty to identify each of their tax preparation clients who need restructuring and to provide them with comprehensive restructuring plans. This seminar will provide CPAs with detailed restructuring guidelines, review the five key section 199A pass-through deduction computation rules central to restructuring practice, identify the seven categories of business owners eligible for section 199A pass-through deductions and the section 199A computation provisions that govern each, address Prop. Reg. § 1.1402(a)-2 (the “Prop. Reg.”), the IRS audit guidelines that enable individuals who are partners of entities taxable as partnerships to minimize their Self-Employment Tax liability on their shares of partnership income and more.