Hood River STW Day 1
Paul La Monaca CPA, MST
Registration Begins 07:30 AM PT
Session Begins 08:00 AM PT
Session Concludes 1:00 PM PT
Course Title Topic #1 - Extension Season 2024: Addressing Open Issues, Administrative Updates, and New Legislation
This course introduces Tax Professionals to the issues which continue to exist during the 2024 Extension Season. The session will review continuing provisions which need to be addressed in order to complete returns resulting from Administrative processing issues inside he IRS as well as the complications experienced as a reality of the enactment of the Inflation Reduction Act of 2022. The specific areas will include the following:
- §30D New Clean Vehicle Credit and IRS Form 8936 Clean Vehicle Credits.
- Proper determination of a qualified vehicle and the preparation of Schedule A of Form 8936 Clean Vehicle Credit Amount will be discussed.
- Proper understanding of the 5 parts of Form 8936 and Schedule A of the Form 8936 which will address:
- Modified adjusted gross income amounts for the current and prior tax years.
- Credit for Business/ Investment use part of the new clean vehicles.
- Credit for Personal use part of new clean vehicles.
- §25E Credit for Previously Owned Clean Vehicles.
- §45W Credit for Qualified Commercial Clean Vehicles.
- §30D planning for 2024 and beyond for the transfer of the New Clean Vehicle Credit by the buyer to the dealer.
- §25E planning for 2024 and beyond for the transfer of the Previously Owned Clean Vehicle Credit by the buyer to the dealer
- Review of the instructions of the Form 8936 and Schedule A Form 8936 to properly implement the provisions of the Internal Revenue Code.
Course Title Topic #2 - Form 1099-K Reporting: Requirements, Confusions, Guidance, Compliance, or Lack Thereof
This course introduces Tax Professionals to the creation of Form 1099-K and the evolutionary changes that have taken place as a result of the American Rescue Plan Act of 2021. The session discusses the purpose of the original legislation and how taxpayers and third party settlement companies have had to attempt to be in compliance with a very narrow road for navigation.
The course will discuss the delay in implementation in 2022 and 2023 and the complication and challenges experienced in preparing and filing 2023 tax returns and beyond. The course will also address the new transition rules for the 2024 tax year.
The session will review the Form 1099-K, the instructions and the implementation of §6050W of the Internal Revenue Code. The course will walk through the steps needed to properly determine where and how Tax Professionals will report each separate transaction reported on Form 1099-K.
Topic #1
At the conclusion of the session, the participants will have an improved knowledge of the specific provisions pertaining to:
- §30D New Clean Vehicle Credits,
- §25E Previously Owned Clean Vehicle Credits,
- §45W Qualified Commercial Clean Vehicle Credits,
- Properly preparing IRS Form 8936 and Schedule A to Form 8936.
The Tax Professional will be better equipped to advise their clients about the election to transfer the §30D and §25E credits to the dealer as well as the amount available and issues dealing with repayment for the advanced credits by the buyer on their filed Form 1040.
Topic #2
At the conclusion of the session, participants will have achieved a better working knowledge on how and where to report each transaction reported on a Form 1099-K received by any of their clients. The course help provide a guide as to where an item on a Form 1099-K should be reported as:
- Other income on Schedule 1 of the Form 1040,
- Schedule C Business Income
- Schedule D Capital Gain Transaction
- Schedule E Rental Income
- Schedule F Farm Income
- Some other reporting characterization, or as a non-applicable transaction.
At the close of the course, the participants will be better equipped to advise clients as to the character of the transactions and any impact on their federal income tax liability.
