Real Estate Tax Issues: Passive Activity, Self-Rental and Section 199A

Overview

This program will provide a detailed analysis of the real estate professional passive activity rules, including forms reporting examples, and integrates those rules with when real estate is considered a "business" under the Section 199A flow-through entity deduction. A detailed analysis of the self-rental passive activity rules will be given, including forms reporting examples and integrates them with the flow-through entity rules related to self-rental.

*Please Note:  If you need credit reported to the IRS for this IRS approved program, please download the IRS CE request form on the Course Materials Tab and submit to kori.herrera@acpen.com

Objectives

• Identify the passive activity and flow-through entity rules for real estate professionals and self-rental property and show how these situations should be reported on various tax forms
• To provide an in-depth discussion of the deduction for income from flow-through for real estate professionals and self-rental property

Highlights

• Integration of the real estate professional rules with reporting on Form 1040, Schedule E
  

  Real estate professionals and indirectly owned (partnerships, S corporations) entity's reporting on Form 1040</li>
  <li>How "real estate business" is interpreted under the Section 199A rules and how it integrates with the passive activity rules</li>
  <li>Real estate professionals and the Form 8582 (Passive Activities)</li>
  <li>How to make the "grouping" election for passive activities and the flow-through deduction</li>
  <li>Definition of self-rental property - both for Sections 199A and 469</li>
  <li>Reporting using Form 1040, Schedule E, page 1 and 2</li>
  <li>Self-rental property and the Form 8582 (passive activity)</li>