Self-Employed

PROGRAM CONTENT

This course provides continuing professional education (CPE) for tax professionals to enhance competence in preparation of tax returns for individuals who are self-employed. Topics addressed in this study guide include business use of the home, children as employees, travel expenses, the qualified business income deduction (QBID), and depreciation.

CPE CREDIT HOURS

4 Credit Hours. One 50-minute period equals one CPE Credit Hour.

LEARNING OBJECTIVES

• Sole Proprietors
  • 1-A Identify taxpayers who are self-employed.
  • 1-B Recognize material participation requirements for self-employment.
  • 1-C Determine the benefits of spouses electing qualified joint venture status for their jointly owned business.
  • 1-D Apply payroll tax exclusions for a family business that employs family members.
  • 1-E Identify the tax benefits of hiring a spouse as an employee.
• Self-Employment
  • 2-A Compute cost of goods sold.
  • 2-B Determine how self-employment tax is computed.
  • 2-C Identify estimated tax payment requirements.
  • 2-D Determine when a taxpayer must issue Form 1099-NEC, Nonemployee Compensation.
  • 2-E Recognize adjustments to income for self-employed taxpayers.
• Business Deductions
  • 3-A Identify the requirements for the business use of home deduction.
  • 3-B Recognize proper treatment of start-up and organizational costs.
  • 3-C Distinguish deductible meals and incidental expenses.
  • 3-D Apply the net operating loss (NOL) limitations.
  • 3-E Calculate the qualified business income deduction (QBID).
• Depreciation
  • 4-A Identify the requirements to depreciate tangible property.
  • 4-B Determine if intangible property qualifies for amortization under Section 197.
  • 4-C Identify Section 179 expense deduction limitations.
  • 4-D Calculate the special depreciation allowance.
  • 4-E Apply the luxury auto limitations.

RECOMMENDED PARTICIPANTS

Tax professionals who prepare individual income tax returns are encouraged to participate in this course.

PROGRAM LEVEL

Overview. This course provides a general overview of the subject area from a broad perspective. It is appropriate for tax professionals at all organization levels.

*All CE hours issued by The Tax Book