Subchapter J of the Internal Revenue Code governs income taxation of estates and trust, an area of tax law with numerous special rules, regulations and professional customs. Form 1041 is unlike any other income tax return a tax professional encounter. This program explains the unique tax rules and opportunities for the knowledgeable tax advisor to provide valuable tax services to fiduciaries — from special tax accounting to options for reporting trust income and expenses. The program will contain state-specific information on the state’s principal and income tax (including unique features of that Act) that is used to compute “accounting income” necessary for preparation of the Form 1041.
Accountants who advise fiduciaries about tax matters and/or prepare Forms 1041. May also be suitable for accountants in public practice or income tax functions of trust companies.
- Advise fiduciaries regarding their tax duties for the income tax reporting
- Understand the types of trusts and their income impact
- Explain what is involved with trust accounting and dealing with the applicable state principal and income act
- Learn the filing requirements for trusts and the preparation of Form 1041
- Deal with unique issues for income and expenses affecting trusts and estate income taxes
- Understand distributable net income (DNI) and how it impacts taxes
- Estate of decedent as a taxpayer — filing requirements and tax planning
- Types of trusts
- Trust accounting and available tax elections
- Filing requirements
- Identifying deductible and nondeductible expenses for a trust or estate following the repeal of the deduction for 2 percent miscellaneous deductions under the Tax Cuts and Jobs Act
- Unique classification of some income and expenses
- Computing accounting income under a state’s principal and income act
- Distributable net income: the concept and its application
Course materials are distributed electronically. To access the materials visit My Events
. Download to your laptop or tablet prior to the seminar, handouts are added as received.