LLC Archives | EA Journal

Feature Article

Will Your Client’s LLC Operating Agreement Make an Election Under Subchapter S Invalid?

Organization of a business enterprise as a limited liability company (LLC) has a number of advantages. In addition to ease of formation, state LLC acts dispense with many of the formalities required for corporations and wide latitude is given to... Patrick D. Dimmitt

Fall 2024, Feature Article, Treas. Reg. §1.704-1(b)(2)(ii)(b)(2), employee, §1361(1)(D), Private Letter Ruling 202111011, election, Treasury Regulation §1.1361-1(l)(1), Private Letter Ruling 202310001, LLC, §338(h)(10), Uniform Limited Liability Company Act, Form 1120-S, Subchapter S, ULLCA, safe harbor, Private Letter Ruling 201949009, §105(b), debt, Private Letter Ruling 201930023, Rev. Proc. 2022-19, limited liability company, Private Letter Ruling 202315005, §3.06, Private Letter Ruling 202110010, Corporate Governing Provision Statement, Form 8832, §704, §3.06(d), §1362(f), §83(b), s corporation, Treas. Reg. §1.704-1(b)(2), stock

Preparation

Key Considerations for Enrolled Agents in the Upcoming Tax Season

The Tax Cuts and Jobs Act (TCJA) of 2017 brought substantial changes to individual income taxes, but many of these provisions are scheduled to expire at the end of 2025. As tax practitioner... Stephen Molchan, EA

Winter 2023, Preparation, §199A, SECURE Act 2.0, partnership, Alternative minimum tax, ROTH IRA, limited liability company, LLC, sole proprietor, adjusted gross income, AGI, required minimum distribution, TCJA, RMD, Tax Cuts and Jobs Act, capital gains, s corporation, c corporation

Feature Article

Are You Prepared for the Corporate Transparency Act?

As the clock strikes midnight on January 1, 2024, the Corporate Transparency Act (CTA) will come into full effect. In simple terms, the CTA requires that every company organized in the United States identifies its beneficial owne... Fernando Juarez Hernandez, EA

Winter 2023, Feature Article, money laundering, beneficial ownership information, Financial Action Task Force, Corporate Transparency Act, FATF, CTA, financial intelligence unit, FIU, limited liability company, Egmont Group of Financial Intelligence, corporation, Title 26, beneficial owner, partnership, Title 31, inactive company, Financial Crimes Enforcement Network, National Defense Authorization Act, BOI report, FinCEN, NDAA, Schedule C, terrorism, LLC

ICYMI

A Roundup of Recent Discussions from the NAEA WebBoard.i

QUESTION #1: I have a new client, an S corporation with two shareholders (married couple) who moved to Texas last year, that have hired me to prepare their 2022 tax return. The corporation purchases aircraft... Patrick D. Dimmitt, EA

Winter 2023, ICYMI, Internal Revenue Manual 21.13.4.3.1, Reg. §1.417-1(b)(6)(iii)(E), §357(c), Rev. Rul. 99-5, Reg. §1.471-1(b)(3), Reg. §301.7701-3(g)(1)(i), Reg. §301.6109-1(h)(2)(ii), Rev. Proc. 2013-30, §471(c), Reg. §1.351-3(b), §735(a), §4.03(1), Form 1125-A, Reg. §1.351-3(a), Rev. Rul. 77-412, §732(b), §731, s corporation, §732(c), §168(i)(7), §351, partnership, Rev. Rul. 67-65, §358(a), Reg. §301.7701-3(c)(1)(v)(C), NIMS, §708(b)(1), §5.03, Form 2553, §263A, National Incident Management System, §752(b), Reg. §301.6109-1(h)(1), LLC, inventory, §731(a)(1), EIN, Form 1065, Form 3115, Reg. §1.357-2(a)

Feature Article

Lessons from a Rogue Revenue Officer

I do not have scientific data to back this up, but my 30 years’ experience has led me to believe that something along the lines of 98 percent of the folks at the Internal Revenue Service (IRS) are ha... John A. Mitchell, EA

Fall 2023, Feature Article, Freedom of Information Act, §7502(f), collection due process, Form 2751, Form 2848, Form 4180, LLC, Letter 1153, Central Authorization File Unit, appeals officer, power of attorney, trust fund recovery penalty, revenue officer, Form 9297, Letter 4020-C, Letter 4020-A, Internal Revenue Manual, IRC §7502(a)

Things to Discuss with Clients at 2023 Appointments

Tax News Briefs

Things to Discuss with Clients at 2023 Appointments

New Beneficial Ownership Information Reporting Rules On September 29, 2022, the Financial Crimes Enforcement Network (FinCEN) issued a final rule implementing the bipartisan Corporate Transparency Act’s (CTA) beneficial ownership information (BOI) r... TheTaxBook

Jan/Feb 2023, Tax News Briefs, Corporate Transparency Act, LLC, CTA, FSA, Small Business Regulatory Enforcement Fairness Act, limited liability partnerships, Identity Protection PIN Opt-In Program, limited liability companies, §125, limited liability limited partnerships, qualified health plan, LLP, QHP, LLLP, Form 15227, Financial Crimes Enforcement Network, beneficial ownership information, FinCEN, BOI

Limited Partners and Self-Employment Tax

Feature Article

Limited Partners and Self-Employment Tax

As tax professionals, we are often given Schedule K-1 forms by our clients in order to report their income and/or losses from their investments in pass-through organizations. How involved are we, ... Keith A. Espinoza, EA

Nov/Dec 2021, Feature Article, §1402(a)(13), Internal Revenue Code, limited liability partnerships, §1402(a)(1)-(17), self-employment, limited liability companies, Revised Uniform Limited Partnership Act of 1976, FICA, limited liability limited partnerships, SE, Form W-2, LLP, employee stock ownership plan, Social Security, LP, ESOP, Form 1040, LLLP, Renkemeyer, Schedule K-1, §1402(b), Form 8275, Schedule 1, Self-Employment Contributions Act of 1954, Form 8082, LLC, SECA, s corporation, Federal Insurance Contributions Act of 1935, Tax Court, limited partnerships

Correcting Partnership Returns After the Centralized Partnership Audit Regime

Feature Article

Correcting Partnership Returns After the Centralized Partnership Audit Regime

Practitioners who make or find errors on a filed Form 1065 for their partnership clients may find themselves in for a bit of a shock when it comes to correcting those errors. Congress passed the Bipartisan Budget Act (BBA) of ... David Woods, EA

Mar/Apr 2021, Feature Article, §6221(a), LLC, Schedule K-1, foreign entity, s corporation, 401(k), disregarded entity, c corporation, TIN, Reg. §301.6221(b)-1(c), nonprofit, Bipartisan Budget Act, Form 1065X, trust, BBA, Form 8988, estate, TEFRA, Form 8978, partnership, Tax Equity and Fiscal Responsibility Act, audit, CPAR, amended, §6221(b), IRA