Passive Activity Rules for Passthrough Entities and Owners (Second Edition)
Authored by CCH Editorial Staff
About this Course
This course focuses on the application of the passive activity rules to individual partners and shareholders of partnerships and Subchapter S corporations. Upon completing this course, you should be able to: Recognize the passive activity rules as they apply to rental activities conducted through pass-through entities; Identify the tests for material participation to partners and S corporation shareholders; Identify the character of items allocated to partners and shareholders by pass-through entities; Identify how activities conducted through pass-through entities are grouped for purposes of testing under the passive activity rules; Recognize the tax consequences of disposing of passive activities conducted through pass-through entities; and Determine the implications of the passive activity loss rules on the net investment income tax for pass-through entities.
Basic knowledge of taxation of pass-through entities