D558A_Pass-Through_Taxation

Course Description and Competencies

What to Expect

In this course, you will work through three modules, all of which are broken into lessons. Throughout the material, you will find chapter readings. There are practice quizzes at the end of each module, which are built from the textbook chapters. Engaging with these readings and quizzes reinforces new learning and complements the knowledge you bring to this area of study.

Prerequisites:

Corporate Taxation is a prerequisite for this course.

Course Competencies

This course covers the following competencies:

The learner determines the appropriate formation parameters and operational tax treatment for partnerships and their respective partners.
The learner calculates the tax effects of partnership distributions, transfers of interest and terminations.
The learner determines the appropriate formation parameters and operational tax treatment for S corporations.

Assessment

The final assessment provides an opportunity to demonstrate your mastery of the competencies in this course. You may attempt the final assessment two times before additional support is necessary. If you require further attempts, please contact your Student Experience Team.

1 Final Exam

3 Competency Units

Course Outline

Module	Upon completion of this module, you will be able to:
Partnership Organization	Define the concept of a partnership for tax purposes and distinguish among various entity types treated as partnerships. Determine the tax consequences of partnership formation, including contributions of cash and property, partner capital accounts, and the impact of liabilities on basis. Apply tax rules related to partnership operations, including income and loss allocations, basis adjustments, and limitations on loss deductions. Prepare and interpret key partnership tax filings. Evaluate accounting methods, tax elections, and compliance considerations applicable to partnerships.
Partnership Operation	Determine the tax consequences of current and liquidating partnership distributions, including the treatment of cash, property, and hot assets in proportionate and disproportionate distributions. Apply tax rules under § 736 related to payments made to retiring or deceased partners, and analyze their implications for both the partnership and the partner. Calculate gain or loss on the sale or exchange of a partnership interest, including the character of income and the application of special rules. Evaluate the tax implications of optional basis adjustments under § 754 and other special provisions affecting the transfer or termination of partnership interests. Analyze partnership termination events and their tax effects, including those involving limited liability entities (LLCs/LLPs), family partnerships, and relevant tax planning considerations.
S Corp Organization	Identify eligibility requirements for S corporation status, explain the process for making the S election, and analyze scenarios that may cause termination of the election. Explain the tax treatment of S corporations and their shareholders, including the effects of flow-through income, loss limitations, and basis adjustments. Compute and allocate jointly and separately stated items of income, deductions, and credits among shareholders in accordance with tax rules. Determine the tax consequences of distributions from an S corporation, including the ordering rules and basis impact on shareholders. Evaluate S corporation compliance issues and planning opportunities, including penalty taxes, other special tax rules, and strategies for optimizing shareholder outcomes.

Technology Requirements

We want you to have the tools to succeed! Since this course includes at least one proctored test, please be sure to have a working microphone, speakers, and an external webcam. Unfortunately, an internal webcam (built into many laptops) is not acceptable. (Note: The external webcam is required only for exams that have proctors. You do not need one for practice tests and other non-proctored assessments.) If you haven't already, be sure to download the Meazure Learning Guardian browser, which you will need for the proctoring system.

You will need Adobe Acrobat Reader DC. If you haven't already, download this free software. You may encounter an interactive form that contains fields that you can select or fill in. Review how to fill in a PDF form.

For other details about the technology you'll need, review the Computer System and Technology Requirements. If you have questions about your setup, contact support@academy.wgu.edu.

Key Contacts

Course Connect
Check out this online community to take advantage of course resources, including videos and tips from your educators. You can ask and answer questions, provide feedback on your progress, and interact with fellow students. You will find this platform in the Student Resources section of the course. Log on and do some exploring!

Technical Support
If you encounter technical issues, be sure to contact the Help Desk. Just submit a Support Request for assistance.

Program Support
Do you have questions about your account? Student Support has answers. They can help with billing, switching courses, and other requests. You can contact them at (888) 320-0540 or support@academy.wgu.edu.

Accommodations

WGU provides compliant and accessible learning experiences. If you require accommodation, please contact us at the start of the course. You can email disability@academy.wgu.edu.

We are committed to ensuring that all students with disabilities have equal access to WGU's services and materials. We strive to use best practices for accessibility. Our goal is to conform to existing U.S. laws, including the Americans with Disabilities Act and Section 504 and Section 508 of the Rehabilitation Act.

Our learning management system (LMS) platform is Open edX. Open edX’s commitment to accessible content is published in their Website Accessibility Policy.