|Student Learning Outcomes -|
- Identify basics of Federal and California income tax law as it relates to Sole Proprietorships and Partnerships.
- Demonstrate practical knowledge of income tax form preparation and tax compliance process as these relate to sole proprietorships and partnerships.
|Description - |
|Current federal income tax law as it relates to sole proprietorship and partnership.|
|Course Objectives - |
|Student will be able to: |
- describe and explain the tax consequences related to and prepare business income tax returns for proprietorship.
- describe and explain the tax consequences related to and prepare business income tax returns for partnerships.
|Special Facilities and/or Equipment - |
|Access to spreadsheet, word-processing, presentation. When taught as an online distance learning section, students and faculty need ongoing and continuous Internet and email access. |
|Course Content (Body of knowledge) - |
- When inventories are used.
- How inventories are valued.
- Change in inventory method
- When inventories are not used.
- Farmer's inventories--special accounting factors.
- Installment sales.
- Qualifying for installment method.
- Sale of real property.
- Sale of installment obligation.
- Deferred payment sales.
- Repossession of real and personal property.
- Useful life.
- Methods of computing
- Changing depreciation methods
- Additional first year "bonus" depreciation.
- Retirement of depreciated property.
- Asset depreciation range system.
- Depletion and mine exploration development.
- Cost depletion.
- Percentage depletion.
- Exploration and development.
- Bad debts and losses.
- Bad debts.
- The net operating loss.
- Amount of carry back and carry forward.
- Change in partnership interest.
- Ending partnership interest.
- Miscellaneous matters.
- Decedents, estates, and trusts.
- Estates and trusts.
- Deductions for distribution to beneficiaries.
- How beneficiary is taxed.
- Family trusts.
- The corporation.
- Corporate tax bill.
- Consolidated returns.
- "Tax-option" corporation.
|Methods of Evaluation - |
- Tax Return preparation
|Representative Text(s) - |
|Willis, Eugene, William Hoffman, and David Maloney. West??s Federal Taxation 2010. Mason, Ohio: South-Western, 2010. |
|Disciplines - |
|Method of Instruction - |
|Lecture, in class or electronic discussions, group work, case studies. |
|Lab Content - |
|Not applicable. |
|Types and/or Examples of Required Reading, Writing and Outside of Class Assignments - |
- Reading IRS Tax Publications and Form Instructions at http://www.irs.gov
- Reading California Publications and Form Instructions at http://www.ftb.ca.gov
- Reading the latest Federal Tax updates at the IRS website
- Reading the latest California Tax updates at the CA FTB website
- Reading Internal Revenue Tax Code and Regulations
- Reading of Wall Street Journal, Business Week, and Fortune