ACCOUNTING 656
Taxation of Flow-through Entities
Bryan School of Business and Economics
Spring, 2011
Dr. Bill Harden, CPA, ChFC
Office
Office Hours
Phone
E-mail
Bryan 384
M, W 12:30 to 2:00 or by appointment
256-0188
jwharden@uncg.edu
Texts:
Lind, Stephen A., et. al., Fundamentals of Partnership Taxation, 8th Edition. Foundation
Press.
Prentice Hall’s Federal Taxation 2011 Comprehensive
Pope, Anderson, Kramer
Prentice Hall
(2010 version okay if purchased last year, student is responsible for updating material)
Federal Income Tax Code and Regulations Selected Sections 2010-2011
Martin Dickinson, Editor
CCH
(Earlier edition okay if purchased last year student is responsible for updating material)
Objectives:
After completing this course, students should possess an in-depth understanding of the
tax law governing partnerships, limited liability companies, and S corporations.
Learning Outcomes:
Demonstrate the ability to analyze flow-through tax issues
Develop an understanding of the importance of entity choice
Demonstrate the ability to report flow-through transactions
Improve analytical skills through problem solving
Grading:
Midterm
Final
Tax Return Projects
Homework/Participation
40%
40%
10%
10%
Final grades will be determined as follows:
100-93%
A
92-90%
A-
89-88
B+
87-83%
B
82-80%
B-
79-70%
C
Below 70%
F
Policies:
1. This is a seminar class, therefore attendance is crucial. Late work will not be
accepted. I reserve the right to drop students after two unexcused
absences. Also, beginning with the second unexcused absence, any
additional unexcused absences will result in your final average being reduced
by 1 point for each unexcused absence. If you must miss a class, you may
turn in the assignment early.
2. Students are expected to take the exams as scheduled. If you have an
emergency, you must notify me before the exam, and only university excused
absences will be accepted. You will be expected to provide verification of the
emergency before a make-up will be scheduled.
3. Attendance will be taken at the beginning of each class and will count as
part of your participation grade.
4. Homework will be taken up on an unannounced basis throughout the
semester and will be graded for effort.
5. IF YOUR CELL PHONE GOES OFF DURING AN EXAM YOUR PAPER
WILL BE COLLECTED AT THAT POINT AND YOU WILL NOT BE
ALLOWED ADDITIONAL TIME TO COMPLETE YOUR EXAM.
6. Late work will not be accepted.
7. The complete Bryan School faculty and student guidelines can be references
at: http://www.uncg.edu/bae/faculty_student_guidelines.pdf
Course Outline:
Class Meeting
January 10
January 24
January 31
February 7
February 14
February 21
February 28
Topic
Introduction; Choice of
Entity; Overview of
Partnership Taxation
Partnership Formation
Partnership Operations
Partnership Operations
(cont.)
Partnership Allocations
Partnership Allocations
(cont.)
Assignment*
Read: Lind, Chapter 1;
Anderson, C2-2 to C2-8,
C9-2 to C9-5, C10-29 to
C10-31, C11-2 to C11-6
Problems: Anderson,
11-29; Lind, Problem 1
page 16
Read: Lind, Chapter 2;
Anderson, C9-5 to C9-12
Problems: Anderson,
9-25, 9-26, 9-28, 9-29;
Lind, page 36, page 43,
page 50, page 74 (#2)
Read: Lind, Chapter 3;
Anderson, C9-12 to C9-18,
C9-21 to C9-27
Problems: Anderson 9-31,
9-32, 9-33, 9-39, 9-41, 942, 9-45; Lind, page 103,
page 110, page 122 (#2)
Read: Lind, Chapter 4;
Anderson, C9-18 to C9-20
Read: Lind, Chapter 4;
Anderson, C9-18 to C9-20
Transactions Between
Partners and Partnership
Problems: Anderson 9-36,
9-37, 9-38; Lind, page
161 (#1,3), page 195 (#1)
page 214 (#1,3)
Read: Lind, Chapter 5;
Anderson, C9-27 to C9-29
Midterm Examination
Problems: Anderson,
9-47, 9-48, 9-49, 9-51;
Lind, page 234 (#1), page
250 (#1), page 257 (#1)
Be Prepared
March 14
March 21
March 28
April 4
Sales and Exchanges of
Interests
Operating Distributions
Liquidating Distributions
and Terminations
Death or Retirement of a
Partner and Anti-Abuse
Regs.
Read: Lind, Chapter 6;
Anderson, C10-16 to
C10-19, C10-20 to C10-22
Problems: Anderson,
10-38, 10-39, 10-40
10-46, 10-47, 10-48; (sale
parts of 46 and 47)
Lind, page 291 (#1)
Read: Lind, Chapter 7;
Anderson, C10-2 to C1011, C10-26 to C10-29
Problems: Anderson,
10-26, 10-27, 10-30,
10-31, 10-32; Lind, page
313, page 327 (#1)
Read: Lind, Chapter 8;
Anderson, C10-11 to
C10-16, C10-22 to C10-26,
C10-34
Problems: Anderson,
10-34, 10-35, 10-36,
10-49, 10-50; 10-46, 10-47
(liquidation parts of 46 and
47); Lind, page 349 (#1),
page 390 (#1)
Read: Lind, Chapters 9
and 10; Anderson, C10-19
to C10-20
Problems: Anderson,
10-41, 10-42, 10-44,
10-45; Lind, page 405,
page 412
April 11
April 18, 25
May 2
S Corporation Operations
and Taxation
Read: Lind, 404-433,
436-455; Anderson,
C11-4 to C11-27
Problems: Anderson
11-34, 11-35, 11-36,
11-37, 11-38, 11-39,
11-40, 11-42, 11-43,
11-48
S Corporation Distributions, Read: Lind, 432-436;
Other S Corporation Issues Anderson, C11-27 to
and Recap of Entity Choice C11-40
Final Examination
Problems: Anderson
11-49, 11-51, 11-52, 11-53,
11-55, 11-57, 11-58
7:00 – 10:00 p.m.
* Code and Regulation numbers to be read are given in the body of the Lind text for a
given assignment and in the footnotes to the Anderson text, and are not repeated here.
Students are expected to read the Code and Regulation sections listed in the text.
Additional problems will be worked in class if time permits, but will not be collected as
homework.