DAY 1 – Individual Tax Update

Current Developments Affecting Individuals

• Income from cancellation of credit card debt may be excluded. Find out how.
• Kiddie tax applies to college students. Avoid blunders with our planning list.
• Alimony/spousal support deduction and numerous divorce cases examined.
• AMT affects more clients. Sophisticated planning ideas detailed.
• Gambler audits increase substantially; mostly losers, but one major slot machine player wins.
• Personal exemptions and itemized deductions increase for wealthy in 2008.
• Hybrid auto credit updated. AMT is trap. Learn why.
• Clothing and household goods donations. Avoid restrictions.
• Cash donations NOT deductible without receipts. Make sure clients have them!
• Mortgage interest limits tested by IRS. A nasty surprise.
• Health Savings Accounts discussed in depth.


Retirement Plans
• Tax-free IRA distribution for charitable purposes extended to 2008?
• Simple but effective techniques to invest pension funds in real estate.
• Single-person 401(k) plan breakthroughs.
• Permissible excuses to avoid 60-day rollover limitations.
• Time extended to pay tax on rollover to non-spouse beneficiary.
• Fourteen relief provisions from 10% early withdrawal penalties. Learn how to request relief.

• New! $500,000 home exclusion extended to surviving spouse two years after death.
• New! 0% capital gain rate for some investors starting in 2008. Really!
• New! Cancellation of debt relief for acquisition debt on principal residences.
• New! Form 982 used to exclude real estate cancellation of debt income.
• Vacation home like-kind exchanges permitted . . . if and when?
• Passive loss real estate professional eligibility requirements and how to meet them.
• Failure to make "single activity" election is ruinous to entrepreneurs.

DAY 2 – Business and Corporate Tax Update

Current Developments Affecting Businesses

• New! Major repair vs. improvement regulations explained. Don't miss this!
• New! $250,000 §179 expensing.
• New! 50% bonus first-year depreciation.
• New! Luxury auto rules.
• New! First-year limits greatly increase deductions on annual auto depreciation.
• Major discussion on how to properly compute 6% "phantom" deduction for manufacturers, contractors, farmers, etc.
• Great planning ideas for 2008!


Schedule C & F Issues & Planning Tips
• Hobby loss audits expand fivefold. Learn novel techniques to retain losses.
• Spousal health insurance plan rules must be followed without exception. Which rules apply.


Federal Payroll Changes
• New! Form 8919 cuts FICA in half for qualified workers. A huge tax savings.
• IRS's new employee vs. independent contractor audits.
• 100% trust fund penalty. Avoid it at all costs!

• New! 0% rate on dividends for certain investors starting in 2008.
• New! Self-employed health insurance deduction for S corporation owners.
• New! E-postcard for small nonprofits. Failure to file penalty has grave consequences!
• New! 2008 nonprofit Form 990 with radical changes is revealed.
• Proven strategies to win C and S reasonable compensation cases.
• Late S election made easy. Why do it on a timely basis anymore?

• Single-person LLCs may not have limited liability on back payroll taxes. Beware!
• LLCs can easily make S election.
• Partner's unreimbursed expenses denied in audit can be deducted.

• $1,000 preparer penalty and how to avoid it.
• "More-likely-than-not" standards for tax preparers. Anticipate changes.
• Audit rates increase again, but not for all taxpayers. Which entity can best reduce the chance of audit?
• Ten most litigated tax issues released by IRS.

• Passage of "extender" bills.
• AMT relief for individuals and corporations.
• Tax relief for businesses.