2014 Course Details
Topics Covered in the 2014 Workbook
The "2014 National Income Tax Workbook," published by the Land Grant University Tax Education Foundation) complies with requirements outlined in IRS Circular 230 for CE providers by including three hours of Federal Tax Law update, two hours of ethics and ten hours of other tax law provisions.
The workbook is a key component of the tax schools, and focuses on the practical, problem-oriented approach by providing examples and completed forms. Even though many of the workbook's chapter titles remain the same each year, the information changes in emphasis to reflect new law or to focus on different parts of the IRS Tax code that are important in that area; for example:
- New Legislation - Covers tax legislation that was enacted late in 2013 and in 2014. It is organized by subject matter to help participants quickly find topics of interest and includes:
- A brief summary of each provision
- Cross-references to other chapters to help participants find further information on some of the topics
- A table of effective dates to help participants keep track of when provisions expire
- Affordable Care Act - Covers ACA mandates for health insurance in two sections; one section covers the individual mandate and another covers the mandate for employers. The chapter covers the tax practitioner's role in implementing these mandates.
- Net Investment Income Tax - Explains and illustrates the net investment income tax (NIIT) rules, including reporting net investment income to and from Schedules K-1.
- Individual Taxpayer Issues - Covers several issues tax practitioners encounter when preparing individual income tax returns, including:
- Tax issues for parents of disabled children
- Dealing with identity theft
- Portability of the estate tax exemption equivalent
- Business Issues - Discusses some of the issues tax practitioners encounter when they prepare returns for clients who operate a business. Topics include:
- Uniform capitalization rules under I.R.C. § 263A
- Per diem rules
- Amending and making late elections
- Startup expenses
- Correcting depreciation errors
- Method of accounting
- Agricultural and Natural Resources Issues - Covers topics that affect farmers, including:
- Allocating crop insurance payment between crop loss and revenue loss
- Christmas trees
- Water issues
- Ethanol credits and carryforwards
- Material participation
- Lease v. purchase of farm assets
- Business Entities - Compares the choices of treating a single member LLC as a disregarded entity or as an S corporation. Issues include making the S election, the need for adequate compensation, gifting shares to family members, and terminating the S election.
- IRS Issues - Covers issues the IRS targets as key issues for practitioners. Topics include employment tax issues, audit reconsideration and collection issues.
- Ethics - Discusses what tax practitioners can and should do, in light of the Circular 230 rules that tell practitioners what they cannot do.
- Tax Practice - Covers some practice issues encountered by tax preparers. Topics are expected to include:
- Working with incomplete records
- Pros and cons of extending the statute of limitations
- What triggers an audit
- Power of attorney issues
- Reporting tax practitioner misconduct
- Retirement - Covers common retirement tax issues including:
- myRA accounts
- Inherited IRAs
- IRA rollover tax law changes
- Taxable social security benefits
- One-participant 401(k) plans
- Form 4797 - Explains and illustrates the use of Form 4797 for reporting certain property transactions. Topics include:
- I.R.C. § 1231 treatment
- Casualty gains and losses
- Depreciation recapture
- Installment sales
- Recapture of IRC § 179 deductions
- Repair and Capitalization Regulations - Explains how the repair and capitalization regulations affect small and large businesses differently. Topics include:
- When Form 3115 is not required for changes made by a small business
- Why does "unit of property" matter?
- Rental property
- Fiduciary Tax Issues - Illustrates the income tax rules for estates with an example of a simple estate. It covers issues such as income distribution, income in respect of a decedent, and basis of assets.
- Foreign Tax Issues - Covers issues for taxpayers with foreign income or foreign accounts, including the foreign tax credit and filing requirements for U.S. citizens living abroad.
- Rulings and Cases - Summarizes selected rulings and cases that were issued from September 2013 through August 2014 to give participants an update on issues that are being addressed by the IRS and the courts. The rulings and cases are organized under topic headings that match the titles of other chapters. The introduction explains the hierarchy of authority among legislation, cases and IRS documents.
- Tax Rates and Useful Tables - Reports the tax rates, deduction limits, credit limits, and income thresholds and limits that change each year. It includes information for 2013, 2014, and 2015 to the extent that information is available.
Course materials provided as part of the Tax School include:
- Printed copy of the "2014 National Income Tax Workbook."
- Searchable CD version of the "2014 National Income Tax Workbook," with bonus materials from the past 10 years of the workbook.
- Access to updates and material on the National Income Tax Workbook website.
Instructors are an experienced group of highly qualified volunteers who are screened and undergo a specific training process. This year's instructors include:
- Nick Bullock, EA (ag issues)
- Sherry Dempsey, CPA (fiduciary issues)
- Jeff Fothergill, CPA (ACA/NIIT and repairs/capitalization regulations)
- Max Galvin, CPA, JD (rulings and cases)
- Paul Hennessey (ethics)
- Joan Holloway, CPA, CMA (ethics)
- Kim Loewer, EA (entities/4797)
- Stephanie Machia, EA (ethics)
- Joe McCarthy, IRS, CPA (IRS issues)
- Ken Nussbaum, CPA (retirement)
- John Scheer, CPA (business issues)
- Claude Schwesig, CPA, B. Comm (foreign taxation issues)
- Neil Stafford, EA (new legislation)
- Arlon Warner, EA (ethics)
Each year we have representatives from the IRS present for at least one hour of IRS issues, and representatives from the Vermont Department of Taxes will also present one hour of Vermont income tax issues.