Individual Taxation

Event Taxable Non-Taxable Income FMV NBV Basis FMV NBV

Partnership
Event Income Withdrawals Tax Taxable Non-Taxable Basis Increase Decrease Withdrawal Non-Liquidating Liquidating Basis Stopping Point NBV assest Taken Stop at Zero P/S interest Must "Zero out" acount

Consulting Service C onsultation P roduct Service A dvisory service S taff and other support I mplementation service T ransaction service Defense of Fraud M ispresentation of material fact A ctual and justifiable reliance I ntent to induce reliance D amages were caused S cienter Statue of Fraud Required defendat to sign in order to be enforceable M arriage Y ear L and, sale or leases of real property for over 1 yr E G S xecutor oods urety

Estate
Taxpayer Estate Beneficiary Event Taxable Non-Taxable Tax FMV NONE Basis FMV NBV

Intent to deceive with a false statement or reckless disregard for the truth

can't be performed within 1 year pay estate debts outta personal funds $500 or more pay the debt of another

Net Capital Loss

Offset Income Carryback Carry Forward YES 2yrs 20yrs $3,000 NO Forever NO 3yrs 5yrs

Operating Loss Indv. Capital Loss Corp. Loss

Menemonics
Qualifying Child C lose Relative A ge Limit R esidency E liminate Gross income test S upport Qualifying Relative S upport over 50% U nder exemption amount P reclude dependent filing joint tax return test O nly Citizens R elative test T axpayer lives with individual Gain H I D E I T Loss W R A P ash Sale elated Party Transaction nd ersonal Losses omeowner Exclusion nvoluntary Conversion ivorced Property Settlement xchange of Like-Kind(Tangible) nstallment Sale reasury and Capital Stock Transaction (by Corp.)

under 19 (24 if full time student) more than half year

Real Defenses F orgery F raud in execution A lteration of instrument A djudicated Insanity I nfancy I llegality D uress D ischarge in bankruptcy S urety defenses S tatue of limitation Certain Things to prevent a party from getting a discharge in bankruptcy D ischage within 8yrs R ecords, failure to keep A ssets, failure to explain whereabouts W illfully consealing assets I not an Individual N ot obeying court order G uilty of a bankruptcy crime MFJ: $500,000 Not Dischargeable Debts under chapter 7 and 11 W illful and malicious injury liability A limony F raud T axes E ducation loans D ebts undisclosed in bankruptcy petition Negligent Torts Deductible

< $3300

A whole year not taxed if tax payer can HIDEIT S:$250,000

Non-Deductible

Itemized Deductions not subject to limitation G ambling Loss I nvestment Interest Expense M edical Expense C asualty and Theft Loss (Non-business)

Order of Payment : Student At GW Enjoys Coming To Dinner S upport obligations A dministrative expenses G ap creditor W ages E mployment benefit plan C onsumer deposits for goods paid but not delivered T axes

lse statement or e truth

med within 1 year

utta personal funds

bt of another

rts Deductible