This session is taught using a Hands-On methodology. Using a comprehensive case study (actual W-2s, 1099s, 1098s, K-1s, etc.), the participant will walk through the preparation of the Form 1040 and related tax schedules while learning the complex income tax law. Each participant will receive a comprehensive individual income tax reference manual that includes numerous practice aids, real world examples, new Federal income tax forms and schedules, and Pat Garverick’s Quick Reference Chart.
- Extensive review of the individual income tax laws with an emphasis on any new legislative changes (i.e., The Big Beautiful Bill) including the expiration or extension of any TCJA provisions after 2025, Form 1040 (and related schedules) changes and income tax preparation issues
- Walk through the detailed 20% qualified business income (QBI) deduction computation and Form 8995/8995-A
- Form 1040 – gross income items including wages, interest & dividends (Schedule B), alimony, refunds, unemployment compensation, pension, IRA’s, social security and other miscellaneous income items
- Schedule A – allowable itemized deductions & changes after the TCJA
- Schedule C and F – trade or business income and deductions
- Form 4562 – depreciation, amortization and §179 expense
- Schedule D – sales of capital assets and personal residences
- Form 4797 – sale of trade or business property including the ordinary income recapture rules under IRC §1245 and §1250
- Schedule E – rentals, passive activities and flow through entities K-1s
- Adjustments to gross income including IRA’s, SEPs, SIMPLEs, HSAs, tuition and fees, alimony paid, student loan interest and Form 7206 (i.e., self-employed health insurance deduction)
- Overview of the various taxes including income, capital gain, self-employment, household employee, kiddie taxes, AMT and 8% net investment income tax
- Selected tax credits (e.g., child tax, dependent care and education credits)
