Course Description

When selling an ownership interest in a passthrough entity, it may be difficult to know what exactly is being sold. Is the owner selling their share of the assets of the pass-through entity? Or are they selling just the ownership interest? Also, when does the concept of look-through provisions come into play? Is there any advantage to structuring a sale as a liquidation rather than selling the interest itself? In this course, we will focus on these questions and many more, so that you can well prepared next time a client is looking to sell their business!

Learning Objectives

  • State the tax implications of a sale of a sole proprietorship.

  • Identify look-through provisions applicable to selling a partnership interest and S-Corp shares.

  • Recognize when the closing of the books election for an S-Corporation may be available and helpful to the client.

Additional Required Materials

  • Level: Intermediate

  • Field of Study: Taxes (NASBA); Tax Planning (CFP); Federal Taxation (IRS)

  • Who Should Attend: Tax practitioners and financial advisors with small business clients.

  • Required Knowledge: Fundamental understanding of passthrough entity taxation and capital gains and losses

  • Advanced Prep: None

Instructor

CPA, CPCU, MST, MBA David Peters

David Peters is the Founder and Owner of Peters Tax Preparation & Consulting in Richmond, VA. He has over fourteen years of experience in financial services, including 3 years in the hedge fund industry and six years in the insurance industry. David was the first-ever Chief Financial Officer at Compare.com - a position he held for over three years. He is a national CPE Instructor/Discussion Leader for the AICPA, Surgent, and Kaplan. He regularly teaches courses in accounting, finance, insurance, and ethics throughout the United States. He holds four Masters degrees and contributes regularly to various CPA publications, including NCACPA’s Interim Report, SCACPA’s CPA Report, and VSCPA’s Disclosures. He was also a co-author of the 2018 Virginia CPA Ethics course – a required course for all CPA’s licensed in the Commonwealth of Virginia.