Income Tax - Consequences to Avoid

Overview:

Negative consequences represent an unfortunate part of life. While many professionals can proactively anticipate results, some consequences occur unexpectedly. In the world of tax, even straightforward and seemingly benign situations can trigger adverse income tax repercussions. Accordingly, this course will equip you with the skills to identify, prevent, and manage such outcomes.

The course introduces topics by starting with common transactions or events before presenting the unfortunate tax result. Subsequently, the course explains the income tax rules and reasons behind the negative result ensuing from each particular situation. You will receive suggestions to manage and mitigate such a problem, as well as tips for recognizing relevant precursors and triggers. Finally, the course provides you with notes that elaborate on detailed background information for each situation.

Course Content:

In this course, you will gain knowledge about the following topics:

• Small Business Deduction restrictions
• Issues relating to dividend payments
• Individuals selling shares to non-arm’s length corporations
• Family income splitting
• Stop-loss rules
• Scenarios involving unfortunate income tax results

Learning Objectives:

Upon completing this course, you should be able to:

• Identify triggering conditions of income tax rules which might apply in common transactions
• Recognize the significance of the applicable income tax rules
• Assess the degree of exposure to adverse consequences and evaluate the potential impact
• Strategize to prevent, manage, or mitigate unintended income tax outcomes

Who Will Benefit: 

Although most tax practitioners will benefit from this course, it is designed for practitioners who work in an environment with income tax consequences but aren’t tax specialists.