Quickfinder - Premium: 1040 and Small Business

Premium: 1040 and Small Business (DPRT09) OVERVIEW COURSE DESCRIPTION:
The first part of this interactive self-study course discusses the basic issues that tax preparers confront when preparing federal Form 1040. You will learn about the filing statuses for married and unmarried taxpayers and the rules for claiming dependents on tax returns. You will also learn how to report wages, salaries, and tips. In addition, this course reviews interest, dividends, alimony, and the taxpayer's responsibility for reporting unearned income. The second part of this course examines the various expenses that can be deducted on Schedules C and F. You will become acquainted with the costs that must be capitalized as well as those costs that can be deducted immediately. The course also takes a look at depreciation and Section 179 expenses that can be deducted by sole proprietors and farmers. There is also a discussion on the various employee-related expenses such as wages, payroll taxes, and other employee benefits. In addition, the course covers travel and entertainment expenses and the related reporting requirements. Finally, the course will briefly touch upon retirement plans.
PUBLICATION/REVISION DATE:
December 2009
RECOMMENDED FOR:
Users of the Premium Quickfinder Handbook
PREREQUISITE / ADVANCE PREPARATION: None
CPE CREDIT:
15 QAS Hours, 15 Registry Hours
7 Federal CTEC Hours, 0 California Hours
Check with the state board of accountancy in the state in which you are licensed to determine if they participate in the QAS program and allow QAS CPE credit hours. This course is based on one CPE credit for each 50 minutes of study time in accordance with standards issued by NASBA. Note that some states require 100-minute contact hours for self-study. You may also visit the NASBA website at www.nasba.org for a listing of states that accept QAS hours.
Enrolled Agents: This course is designed to enhance professional knowledge for Enrolled Agents. Gear Up is a qualified CPE Sponsor for Enrolled Agents as required by Circular 230 Section 10.6(g)(2)(ii).
CFP CREDIT: 7 CE Hours ? CFP? Credit hours are half the number of CPE credit hours
FIELD OF STUDY: Taxes
EXPIRATION DATE: Postmark by December 31, 2010
KNOWLEDGE LEVEL: Basic
LEARNING OBJECTIVES
1040
Lesson 1 - The Basics
Completion of this lesson will enable you to:

List the major accounting methods.
Identify the various 1040 income tax forms and their uses.
Differentiate between adjustments to income and income tax credits.

Lesson 2 - Filing Status
Completion of this lesson will enable you to:

List the filing requirements for federal income tax purposes.
Identify filing statuses of married and unmarried taxpayers.
Determine how many personal exemptions taxpayers may claim.

Lesson 3 - Dependent Exemptions
Completion of this lesson will enable you to:

Apply the three general dependency tests.
Identify the specific dependency tests for qualifying child or relative.
List the applicable rules for filing returns involving children of divorced or separated taxpayers.

Lesson 4 - Income of Employees
Completion of this lesson will enable you to:

Define employee compensation and determine which types of compensation must be reported on the income tax return.
Identify the items included on the Form W-2.
Determine if excess Social Security taxes have been withheld.

Lesson 5 - Income of Employees (Continued)
Completion of this lesson will enable you to:

Identify the requirements for reporting tip income and unemployment compensation.
Complete Form 4137.

Lesson 6 - Unearned Income
Completion of this lesson will enable you to:

Identify different types of interest income and determine when interest income is taxable and when it is tax-exempt.
List and describe the items included on Form 1099-INT, Interest Income and Form 1099-DIV, Dividends and Distributions.
Define the three types of dividends and the tax treatment of each.

Lesson 7 - Unearned Income (Continued)
Completion of this lesson will enable you to:

Determine what payments qualify as alimony.
Identify which scholarships are nontaxable.
Apply the kiddie tax rules to children with investment income.

Small Business
Lesson 8 - Overview
Completion of this lesson will enable you to:

Differentiate hobby versus business expenses and apply the tests for deductibility.
Identify the cash basis or accrual basis taxpayer and capitalized costs compared to deductible expenses.

Lesson 9 - Personal and Business Expenses
Completion of this lesson will enable you to:

Identify and classify home office expenses.
Compute automobile expenses using one of the IRS approved methods.

Lesson 10 - Depreciation
Completion of this lesson will enable you to:

Calculate depreciation using the Section 179 expense election and depreciation conventions under MACRS.

Lesson 11 - Employee Expenses
Completion of this lesson will enable you to:

Compute and properly deduct various employee-related expenses.

Lesson 12 - Travel and Entertainment
Completion of this lesson will enable you to:

Differentiate between business expenses that are allowable and those that may be disallowed.

Lesson 13 - Common Expenses
Completion of this lesson will enable you to:

Determine the deductibility of various expenses common to most small business.

Lesson 14 - Farming Revenue and Expenses
Completion of this lesson will enable you to:

Identify the revenue and expense categories unique to a farming operation, including whether or not the farm meets the definition of a business or hobby.

Lesson 15 - Retirement Plans
Completion of this lesson will enable you to:

Identify the deduction limits and qualification rules unique to each type of retirement plan.

TO COMPLETE THIS LEARNING PROCESS
Send your completed Examination for CPE Credit Answer Sheet, Course Evaluation, and payment to:
Thomson Reuters
DPRT08 Self-study CPE
P.O. Box 966
Fort Worth, TX 76101
See the test instructions included with the course materials for more information.
ADMINISTRATIVE POLICIES
For information regarding refunds and complaint resolutions, call (800) 323-8724 for Customer Service and your questions or concerns will be promptly addressed.