MS 451 - Personal Tax

• Have a basic knowledge of federal tax regulations for individuals
• Understand the current tax forms and filing methods for individuals and be able to prepare a tax return for an individual using the appropriate forms
• Have a basic understanding of tax planning for individuals

• None

• Introduction to taxation History of taxation Enactment of new laws each year Objectives of tax law Rate structures
• Determination of Tax Tax formula Filing status Exemptions
• Gross Income Inclusions Exclusions Capital Gains Business Income
• Deductions Expense criteria Medical Taxes Interest Charitable Casualty, Theft, Miscellaneous Passive losses Moving Home Office Deferred Compensation Depreciation
• Accounting Methods and Periods Cash vs. Accrual Long term contracts Installment sales Change in methods Alternate minimum tax Self-Employment tax
• Property Transactions Like-Kind exchange Involuntary conversion Sale of principal residence Section 1231 property Recapture of depreciation on sections 1245 property Recapture of depreciation on Section 1250 property Additional recapture provisions for corporations Recapture provisions for gifts and estates
• Credits and payments Child tax credit Dependent care credit Elderly and disabled credit Adoption credit Hope scholarship credit Lifetime learning credit Credit limitations Miscellaneous credits General business credits Earned Income credit Withholding of taxes Estimated tax payments
• Partnerships and Corporations Tax of Partnerships Tax of S Corporations Tax of LLC and LLP
• Tax Planning Considerations Shifting income Maximizing deductions Tax exempt bonds Deferred compensation Estate planning - annual gifts Business vs. Hobby Net operating losses Traditional vs. Roth IRA Accounting periods and methods Sale of residence Avoiding AMT Avoiding unerpayment penalty Business form to minimize tax