We have identified two very common matters affecting S corp shareholder and partner basis related to how business ERC refunds and PPP loans were reported on the entity tax returns. These entity reporting errors affect the individual tax preparer's Form 1040 clients' basis. Both of these matters cause a shareholder's or partner's basis to be understated, often by substantial amounts. This course will review these critical basis miscalculations and help business tax preparers and individual tax preparers identify clients with these issues and fix these basis errors. Plus an analysis of reporting ERC refunds received for 2023.
Learning Objectives
Upon completion of this course, participants will be able to:
Learn common basis errors related to PPP & ERC COVID benefits and how to fix this issue;
Understand which clients are likely to have these basis errors;
Review IRS guidance related to these basis errors and steps for resolving current year 2023 basis; and
Determine the components of ERC refunds received and how to report them for 2023 tax returns.
