[jeff]

Welcome to the Q3 2017 CPA Exam Study Group for REG. 🙂

Introduce yourselves and let your fellow NINJAs know when you plan to take your REG exam.

The Five Steps (NINJA Framework): https://www.another71.com/pass-the-cpa-exam/

[user2701]

Friends,

Is REG doable in 3 weeks time ?

BEC- 43(Feb'16), Retake-June 10, (Wiley text book/WQB/NINJA MCQ)
REG- TBD
FAR- TBD
AUD- TBD

[wakefern58]

With regards to Casualty/Theft Losses for itemized deductions, can an UNinsured person claim this itemized deduction? My book states that an insurance claim must be filed but I did not know if this was only for people who are actually insured. What about people who have UNinsured property damaged/theft?

[Julia]

@wake. Publication 584 says:. If you did not file an insurance claim, you may deduct only the part of the loss that was not covered by insurance.

When your loss is deductible. You can generally deduct a casualty or disaster area loss only in the tax year in which the casualty or disaster occurred. You can generally deduct a theft loss only in the year you discovered your property was stolen. However, you can choose to deduct disaster area losses on your return for the year immediately before the year of the disaster if the President has declared your area a federal disaster area. For details, see Disaster Area Losses in Publication 547.

I had wondered the same thing.

[wakefern58]

Thanks so much @Julia – You cleared up for me in 1 minute what i had wandered and searched for all day haha

[Holly]

Does anyone else follow the schedule Becker suggests?

BEC - 79
REG - 85
AUD - 5/27/16

[Anonymous]

@Holly @LCros @Tulip – Thank you for the encouragement. I'm afraid I spent most of the weekend at the pool. However, Tim Gearty was in my headphones at the pool lecturing on R4 all over again. It was so much easier studying in the winter!

[Anonymous]

@Holly – No I turn the “Auto Arrange” option off. I'm not a fan of the Becker calendar. What if I want to do 1.5 chapters/wk? Their calendar only allows the user to choose Mondays as starting dates.

[Anonymous]

I was in the midst of R4 in Becker last week and got through most other other than AMT, consolidated returns and NOL…But the pressure of finishing the entire chapter in one week is just putting me down! I am going through R5 in Becker this week (long one as well-hopefully I get through most of it and don't get derailed!). Wishing everyone focus this week (myself the most!) @drumstick-it definitely was so much easier to study in the winter!!!!

[Holly]

I'm trying to follow it just because I need some kind of schedule, I guess. I cannot wait for this to be over!!!!

BEC - 79
REG - 85
AUD - 5/27/16

[pcunniff]

Have a question below:

Tap, a calendar year s-corp reported the following items of income and exp during the current year

Rev- 44k
Op Exp – 20k
LT cap loss- 6k
charitable contributions – 1k
Int Exp – 4k

A)24k
b) 19k
c) 20k
d) 13k

I chose A because becker states sep stated items or portfolio income (int, div, royalties, and all cap gains and losses) are separately stated. If int income is, why is int exp included in ordinary income? The answer is C.

[TXJAM]

Subject: Partnership Basis on contributed property.

Question: Do we not include liability assumed by the partnership as a part of the basis of said property?

I'm thinking ‘no' because the partners get an increase in basis and the partnership always get's carry over basis of the property.

My logic is correct, right?

[passantsalama]

Can someone please explain briefly the PAL for individuals exceptions :/

[Julia]

@pcunniff u r thinking “investment interest exp.” that is passive & thus pass through.
Interest exp can b deducted if it is for buissiness. Look at notes for partnership on ninja.
I got tripped by same thing.

[Julia]

@texjam if u contribute prop w a liability- ur basis goes down by the percentage of ownership u don't get. U get 20% interest then 80 % of liability is subtracted from ur basis.
The other 80 percent partner gets an increase to their basis.
If u have more liability then basis in assets- u recognize a gain and have zero basis.

[Julia]

@passant : if u materially participate on reg and consistent basis in rental activity – u can deduct up to $25,000 as ordinary income. Regardless if married or single.
If agi(they can ask u calculate) is over 100k then amount over is multiplied by 50% and reduces ur deduction.
Otherwise pals are deducted when have passive gain or sell passive asset.

[Author]

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