Welcome to the Federal Tax Update Podcast, hosted by Lynn Nichols. This is presented as a member benefit by the South Carolina Association of CPAs. It is produced to provide current information about developments in U.S. tax law, such as cases, ruling, IRS pronouncements and expert comments on hot topics.
The commentary is brief, and you should not take a position on the items discussed until you thoroughly examine it with authoritative sources. All topics can be found discussed in further length at Tax Notes Today.
“I have relied on Tax Analysts® to provide reliable and timely analysis of Federal tax developments for over 30 years. The ‘headnotes’ you see here are from ‘Tax Notes Today,’ the preeminent source of accurate information and analysis of important developments and trends in Federal taxation,” Nichols says.
You can contact Lynn Nichols at firstname.lastname@example.org or 714.321.3387 and connect on LinkedIn.
Nichols note: I would like to draw your attention to two IRS training programs on partnership liabilities. These IRS Practice Units should be required study for any CPA preparing partnership returns. Reporting a partner’s (or LLC member’s) tax basis is required in every Form 1065. In my experience, many CPAs only learn these rules as far as the basics, and these calculations go far past that. The IRS material is complex but fortunately very well-written.
Links to the Two Practice Unit PDFs:
Dec. 18, 2020: Determining Liability Allocations
Dec. 18, 2020: Recourse vs. Nonrecourse Liabilities
- Tax Extenders in “Taxpayer Certainty and Disaster Tax Relief Act of 2020”: A summary and count of topics
- Tax Cuts and Jobs Act Income Accounting Rules: Final Regulations
- 2021 Standard Mileage Rates
A federal tax specialist for 50 years, Lynn Nichols provides tax consulting services to CPA firms on complex federal income tax issues, professional standards in tax practice and effective tax practice management. Check out his Tax Updates video playlist.
Click and subscribe to the SCACPA YouTube channel so you don’t miss another update on guidance from the experts.