Form 7203 - How to Calculate Shareholder Basis
Online
2.00 Credits
Member Price $89.00
Non-Member Price $119.00
Overview
Starting with tax year 2021, Form 7203, S Corporation Shareholder Stock and Debt Basis Limitation, may be required to accompany shareholders’ Individual Income Tax Returns (Form 1040). This form is essential for reporting a shareholder's outside basis and debt basis to properly apply loss limitations under I.R.C. §461 and at-risk limitations. This course will provide a detailed overview of Form 7203, including its mechanics and strategies for completing it accurately. Additionally, strategies for reconstructing shareholder basis when it has not been maintained in the past will be discussed, helping practitioners handle these scenarios effectively.
*Please Note: If you need credit reported to the IRS for this IRS approved program, please download the IRS CE request form on the Course Materials Tab and submit to kori.herrera@acpen.com
Objectives
- Explain the purpose and requirements of Form 7203.
- Accurately complete Form 7203 for S Corporation shareholders.
- Develop strategies to reconstruct shareholder basis when records are incomplete.
- Analyze and apply loss limitations under I.R.C. §461.
- Understand and apply at-risk rules and limitations.
- Identify common errors and pitfalls in shareholder basis reporting.
- Integrate Form 7203 reporting with the shareholder's Form 1040.
- Evaluate the implications of incorrect basis calculations for tax compliance.
Highlights
- Introduction to Form 7203 and its purposes
- Mechanics of completing Form 7203 accurately
- Strategies for reconstructing shareholder basis
- Loss limitations under I.R.C. §461
- At-risk rules and limitations for S Corporation shareholders
- Documentation requirements for shareholder basis
- Common errors in calculating and reporting basis
- Best practices for maintaining and reporting shareholder basis
Designed For
CPAs, EAs, and tax professionals working with S Corporation shareholders or handling shareholder basis calculations
Prerequisites
None
Preparation
None
Notice
Your webinar can be accessed via https://ctcpas.acpen.com/. If you do not have an ACPEN account, please sign up for an account using the email address you have on file with CTCPA.
Leader(s):
Leader Bios
Mary Jane Hourani, MM, EA, NTPI Fellow, Hourani & Associates, Inc.
Mary Jane Hourani, MM, EA, NTPI Fellow, Tax Accountant
Mary Jane has been practicing since 1993, working for a couple larger Tax, Accounting, & Audit Firms before transitioning to her own practice in 2005.
Mary Jane has a Master of Management from Walsh College of Accountancy and Business Administration as well as a Bachelor of Science from Eastern Michigan University in Public Administration with a focus in Organizational Development and Governmental Accounting.
She is credentialed as an Internal Revenue Service Enrolled Agent, allowing her to practice before the IRS. With this credential, she has direct oversite by the IRS Office of Professional Responsibility. She is also a National Association of Enrolled Agents NTPI Fellow.
Mary Jane has been an Instructor of Tax for Michigan State University Tax School since 2014 as well as a speaker for several trade organizations since 2010.
Mary Jane has been a Contributing Editor and/or Contributing Author of the National Tax Workbook for the Land Grand University Tax Education Foundation since 2015. She writes and compiles tax course packs used by Michigan State University Tax School. Mary Jane is an author/speaker for several national trade organizations and national CPE providers. She is a former H&R Block Instructor/Trainer.
Mary Jane is a member of the National Association of Enrolled Agents, Michigan Association of Certified Public Accountants, National Association of Tax Professionals, American Institute of Professional Bookkeepers, and is a QuickBooks ProAdvisor.
Non-Member Price $119.00
Member Price $89.00