Tax in Action: Practical Strategies for Tax Pros

Jeremy Wells, EA, CPA

Join Jeremy Wells, EA, CPA, as he breaks down the complexities of tax law into practical guidance you can apply immediately. Each episode focuses on a specific tax strategy, credit, or compliance issue that matters to tax professionals and business owners. Rather than theoretical discussions, Jeremy delivers actionable insights based on real-world scenarios and current tax regulations. Whether you're navigating Section 1031 exchanges, maximizing research credits, or helping clients with energy tax incentives, this podcast provides the technical details and strategic considerations you need to confidently serve your clients. Perfect for tax practitioners looking to deepen their expertise and business owners wanting to make more informed tax decisions.

  1. Aug 5

    Partnership Exits: Basis, Liabilities, and Hot Assets

    Jeremy closes out his partnership series by tackling outside basis, how partnership liabilities affect that basis, and what happens when a partner exits. Using a case study of two LLC members with mounting losses, he walks through abandonment, a buyout by the remaining partner, a partnership redemption, and a sale to a third party, comparing the tax results of each. He also covers Section 751 hot assets and why unrealized receivables and appreciated inventory can turn part of a capital gain into ordinary income. SponsorsThomson Reuters - http://taxshow.promo/taxautomation (00:00) - Series Wrap and Big Topics (01:43) - Case Study Setup Lighthouse LLC (03:29) - Outside Basis Basics (07:39) - Tracking Basis and Proof (13:36) - Loss Limits and Suspensions (19:53) - Basis Ordering and Distributions (26:01) - Liabilities Under Section 752 (32:33) - Recourse vs Nonrecourse Debt (37:49) - Excess Distributions and Exits (40:34) - Abandonment and Hot Assets (46:56) - Jessica Exit Options Compared (55:55) - Key Takeaways and Next Series Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    Partnership Exits: Basis, Liabilities, and Hot Assets

  2. Jul 22

    Cash, Property, Sweat Equity: Structuring Partner Returns

    Jeremy breaks down how partnerships can divide profits among partners who contribute very different things — cash, property, or just time and effort — without running afoul of federal tax law. Using a hypothetical partnership as a running example, he covers what makes an allocation legitimate versus a tax dodge, and why the IRS cares so much about the difference. SponsorsThomson Reuters - http://taxshow.promo/taxautomation (00:00) - Meet Lighthouse LLC (01:17) - Investor Payback Goals (04:32) - Course Roadmap (05:40) - Pass Through Basics (08:47) - Baisey Case Lesson (14:18) - Separately Stated Items (20:39) - Partner vs Partnership Tests (23:22) - Unreimbursed Expenses (27:27) - Property Contributions 721 (32:01) - 704c Built In Gain (36:37) - Capital Accounts Explained (42:04) - Substantial Economic Effect (52:05) - Drafting The Waterfall (55:55) - Key Takeaways Next Steps Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    Cash, Property, Sweat Equity: Structuring Partner Returns

  3. Jul 8

    Limited Partner or Not? Why Courts Are Split on Your Tax Bill

    Jeremy digs into what actually makes someone a partner for federal tax purposes, tracing the definition back to the Supreme Court's Tower and Culbertson decisions and the "hypothetical liquidation" test for capital interests. From there, he unpacks the messier question of self-employment tax on partnership income: the undefined "limited partner as such" exception under IRC Section 1402(a)(13), and the current circuit split between the Tax Court's functional analysis (Renkemeyer, Soroban) and the Fifth Circuit's state-law approach in Sirius Solutions, with Denham Capital Management still pending at the First Circuit. SponsorsThomson Reuters - http://taxshow.promo/taxautomation (00:00) - Partnerships Recap Goals (01:27) - LLC Members Case Study (03:17) - Are Partners Equal (05:11) - Who Counts As Partner (10:14) - Tower Case Principles (14:48) - Culbertson Intent Test (17:30) - Congress Defines Capital Interest (26:26) - Capital Interest Explained (28:47) - General Versus Limited Partners (30:18) - Self Employment Tax Basics (33:19) - Limited Partner Definition Fight (36:06) - Key Court Cases Split (48:47) - New Cases Jurisdiction Issues (52:12) - Back To LLC Example (55:02) - Takeaways Next Episode Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    Limited Partner or Not? Why Courts Are Split on Your Tax Bill

  4. Jun 24

    When Does Co-Ownership Become a Partnership

    Two friends sharing a short-term rental, a married couple flipping houses, siblings splitting the income from a property they own together: any of these could be a partnership for federal tax purposes, often without the owners realizing it. This episode works through how federal tax law defines a partnership, when one actually forms, and why mere co-ownership does not automatically create one, drawing on Subchapter K, the regulations, and foundational cases like Tower and Culbertson. It also separates two regimes that frequently get conflated, the qualified joint venture under Section 761 and the community property LLC exception under Revenue Procedure 2002-69, and closes with a framework for making the call. SponsorsThomson Reuters - http://taxshow.promo/taxautomation (00:00) - Rental Friends Scenario (01:36) - Why Partnership Status Matters (02:28) - Aggregate Versus Entity (04:22) - Goals For This Episode (05:51) - IRS Partnership Definition (09:12) - Mere Co Ownership Tests (14:10) - LLCs And Entity Rules (17:20) - When A Partnership Forms (23:22) - Supreme Court Guidance (27:45) - Court Factors Checklist (33:50) - Electing Out Of Subchapter K (39:41) - Spouse Exceptions Explained (49:08) - Two Step Decision Framework (54:31) - Case Study Short Term Rental (57:01) - Key Takeaways And Wrap Up Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    When Does Co-Ownership Become a Partnership

  5. Jun 10

    Cracking Open the Shell: How S Corp Asset Sales Actually Work

    A buyer who wants a business but not its liabilities will often buy the assets instead of the stock, and that one decision reshapes how the entire deal gets reported. This episode breaks down the S corporation asset sale from the ground up: allocating the purchase price across seven asset classes using the residual method under Section 1060, reporting it on Form 8594, and handling goodwill and other Section 197 intangibles. It also covers why each asset's character drives the gain that passes through to shareholders, and what documentation has to be locked down before you prepare a single return. SponsorsThomson Reuters - http://taxshow.promo/taxautomation (00:00) - Stock vs Asset Sales (03:32) - Course Goals Overview (06:04) - Lighthouse Example Setup (13:16) - Why Buyers Prefer Assets (16:29) - Section 1060 Basics (25:36) - Residual Method Classes (32:17) - Goodwill and Going Concern (40:45) - Personal Goodwill Cases (42:57) - Form 8594 Reporting (47:53) - Elections 338 and 336 (50:08) - Due Diligence Checklist (53:18) - Workflow and Wrap Up Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    Cracking Open the Shell: How S Corp Asset Sales Actually Work

  6. May 27

    S Corp Ownership Changes: What Every Tax Advisor Needs to Know

    When ownership in an S corporation changes hands, the tax consequences routinely catch both clients and their advisors off guard. Jeremy walks through the two critical questions that drive correct reporting — who or what acquired the stock, and when did the transfer actually occur for tax purposes — and explains how the answers determine whether a transaction is treated as a capital sale, a stock redemption, or a distribution. He also covers the two close-the-books elections available under IRC Section 1377(a)(2) and Reg. 1.1368-1(g), and why locking in those elections before filing — ideally before the transaction closes — can make a significant difference in how income gets allocated between outgoing and incoming shareholders. SponsorsThomson Reuters - http://taxshow.promo/taxautomation Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    S Corp Ownership Changes: What Every Tax Advisor Needs to Know

  7. May 13

    The S Corp's Three Ledgers: Retained Earnings, AAA, and Stock Basis

    S corporations maintain three separate ledgers — retained earnings, AAA, and shareholder stock basis — and each one answers a different question about the entity and its owners. Understanding why they diverge, and which one actually governs whether a distribution is taxable or a loss is deductible, is where a lot of tax professionals run into trouble. Jeremy walks through the mechanics of all three, including Form 7203, the order-of-operations rules for calculating stock basis, and what's really going on when a practitioner misclassifies distributions in excess of basis as shareholder loans. SponsorsThomson Reuters - http://taxshow.promo/taxautomation (00:00) - Why S Corps Are Hybrid (02:20) - Three Key Ledgers (06:35) - Retained Earnings Basics (10:52) - IRS Scrutiny of Retained Earnings (15:13) - AAA Explained and Origins (21:43) - AAA vs Retained Earnings (27:29) - Stock Basis and Common Mistakes (36:23) - Capital Contributions and Form 7203 (43:37) - Basis Ordering Rules and Elections (48:55) - Worked Example and Wrap Up Jeremy's Article on S Corp Ledgershttps://www.jwells.tax/p/the-three-ledgers-of-an-s-corporation Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    The S Corp's Three Ledgers: Retained Earnings, AAA, and Stock Basis

  8. Apr 29

    Your Business Doesn't Need to Own Your Car

    Buying a vehicle through your business sounds like a clean tax win, but the rules around ownership, usage, and substantiation make it far more complicated — and far riskier — than most owners realize. Jeremy breaks down what actually determines whether a vehicle expense is deductible, why mileage logs are full of trips the IRS won't allow, and how a shift in business use percentage can trigger depreciation recapture that wipes out years of deductions. SponsorsThomson Reuters - http://taxshow.promo/taxautomation (00:00) - Influencer Tax Myths (03:32) - Core Tax Authority (07:25) - Business Trips vs Commutes (14:25) - Home Office Exception (19:09) - Strict Substantiation Rules (26:33) - Mileage Logs That Win (31:49) - Fringe Benefits and Accountable Plans (36:08) - Depreciation Limits and Recapture (43:51) - Standard Mileage Rate Option (45:54) - Three Question Framework (47:52) - Scenario Walkthroughs (55:58) - Key Takeaways and Wrap Up Connect with Jeremyhttps://www.linkedin.com/in/jwellstaxhttps://www.steadfastbookkeeping.com Subscribe on YouTubehttps://www.youtube.com/@TaxinAction Earn CPE for Listening to This Podcasthttps://www.earmark.app/ This podcast is a production of Earmark Media

    Your Business Doesn't Need to Own Your Car
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4.9
out of 5
17 Ratings

About

Join Jeremy Wells, EA, CPA, as he breaks down the complexities of tax law into practical guidance you can apply immediately. Each episode focuses on a specific tax strategy, credit, or compliance issue that matters to tax professionals and business owners. Rather than theoretical discussions, Jeremy delivers actionable insights based on real-world scenarios and current tax regulations. Whether you're navigating Section 1031 exchanges, maximizing research credits, or helping clients with energy tax incentives, this podcast provides the technical details and strategic considerations you need to confidently serve your clients. Perfect for tax practitioners looking to deepen their expertise and business owners wanting to make more informed tax decisions.

Information

  • Creator
    Jeremy Wells, EA, CPA
  • Years Active
    2025 - 2026
  • Episodes
    34
  • Rating
    Clean
  • Copyright
    © 2026 Earmark Media LLC

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