REG 2 Flashcards
Separate Items
- Charitable controb.
- interest inc.
- dividend inc
- rent
- sect 179
- (foreign) tax credits
- G/L on sale of collectables
S-Corp member income
S-Corp Oper. inc * % ownership
***Dont include S-Corp distributions
Qualifying Bus
- Architect
- Engineering firm
QBI above phase out calculation
Greator of: 1. % ownership * (50% * W-2) 2. % own * [(25% * w-2) + (2.5% of unadj. prop)] Lessor of: 1. QBI * 20% 2. Above Lessor of: 1. Above 2. 20% taxable inc. in excess of capt. gains
QBI Phase out
Single: 157- 207
MFJ: 221400 - 321400
Actively part. in rental prop calc
income
(phase out)
* .5 = x
25 - x
Emp Stock Purch Plan
exceptions
- opt. exercise price cant be less than 85% of FMV of the stock when grant/ exersice
- Must be exercised within 27 months after grant
Limited Liability company must file
Articles of Organization w/ the secretary of state
LLC must file
- Bylaws
- Articles of Incorporation
Operating Agreement is
agreement between members containing provisions relating to mgt, profit sharing, transferring interests. Not filled w/ the state
Like kind exchange gain realized
FMV of new prop
+ Boot rec.
- Boot paid
- Adj basis of old prop
Basis in new property
Adj. basis in old prop
+ Gain
+ Boot paid
- Boot rec
Types of taxable payments to foreign person
- interest pmt from a savings account at a US bank
- pmt to a foreign fin. institution that does not provide information about US person
- a dividend pmt from a US corp
Casualty Loss calc
Lessor of damages/decrease in FMV after event/adj basis
- ins. proceeds
- 10% income
- 100
Deduction for intrest on investment indebtedness is limited to…
the taxpayer net investment income
qual ed loan intrest phase out
single: 65 - 80
MFJ: 135 - 165
Qualified resident interest is not
deductible investment interest
kiddie tax calc.
Unearned inc less st. ded. x2 (taxed at estate rate)
earned income less kiddie deduction (taxed at marginal rate)
new medicare tax
- 8% of the greater of:
- net invest income
- AGI over threshold amount
