Description: The Centralized Partnership Audit regime, enacted in the Bipartisan Budget Act 2015, became effective January 1, 2018, and California will generally follow federal when the IRS audits a partnership. While many think this only affects large partnerships, your small partnership must consider an important election. Failure to make the election means the current partners could be assessed for past partners’ actions. This session will clearly define the “push out” or “pull in” options, as well as the required time frames to implement them, in instances where the partnership is contacted by the IRS examination division.
S15-New Partnership Audit Rules: Are You Ready?
Thursday, June 27 | 10:10 am - 11:50 am
2 hours Federal Tax Law (EA, CRTP, OTRP)
2 hours Taxes/Tax Planning (CPA, CFP)
1.75 hours Taxation Law (Attorney – CA Bar MCLE)
2 hours (CSEA/NAEA)
Speaker: Vicki Mulak, EA, CFP®
1. Review how the new audit rules function absent any elections or procedure choices
2. Explore whether the new audit rules will incentivize partnerships & LLCs to make corporate elections to avoid the new audit rulers
3. Recognize partnership scenarios where opportunities to utilize or not utilize available push-out and pull-in methods exist
Learning Level: Intermediate
Advanced Preparation: None