Interest in tax shelters continues to grow in response to an increase in the highest individual tax rate. Taxpayers turn to their advisors to find investments which result in credits and/or recognition of passive losses. However, there is a downside to the rising popularity of tax shelters: increased IRS scrutiny of investments that allow for tax avoidance and, at times, tax evasion. Investments that provide little or no benefit to society and/or offer excessive tax benefits are considered “abusive tax shelters” and could be subject to high penalties. This course examines the laws surrounding tax shelters and the options available to legally take advantage of shelter benefits. Upon completing this course, you should be able to: Identify potential rewards and risks of tax shelters; Recognize the characteristics of an abusive tax shelter; Understand specific tax provisions and IRS enforcement programs affecting tax shelters; Evaluate tax shelter opportunities