Colorado Tax-Aide State Meeting October 25, 2018 Training Update Colorado Tax-Aide State Meeting October 25, 2018

Topics Instructor Workshop Schedules – Publications and Practice Lab Scope and Tax Law NTTC Workbook Update Q&A NTTC and IRS Scope changes, tax law issues Other topics CO State Tax Meeting

Instructor Workshop – Dec. 5 – 6, 2018 Who should attend: All instructors, DC’s’, LC’s and any one else who would benefit are invited Location: Holiday Inn Lakewood (same as last year) Separate TC meeting on the afternoon of Dec. 4 Expenses reimbursable; make reservations directly with the hotel “AARP Tax-Aide group rate” CO State Tax Meeting

Electronic versions available now! IRS Products Electronic versions available now! Print version in January Print version in November (new evergreen) Pub 4480 kit only Print version in November CO State Tax Meeting NTTC – 2017 Regional Meeting

Must order each – not bundled IRS Products Must order each – not bundled Print version in January Print version in November (new evergreen) Pub 4480 kit only Print version in November CO State Tax Meeting NTTC – 2017 Regional Meeting

IRS Pub 17 Available in December Two per site (cannot be ordered) Last year paper version available CO State Tax Meeting

NTTC Materials NTTC Workbook Training Guide – in Portal Library Available to order from Fulfillment - Now Answers and Training Guide emailed to DC’s on Oct. 21 Training Guide – in Portal Library NTTC Training Slides First release October 15, 2018 Second release mid-December Slides – continue to incorporate feedback CO State Tax Meeting NTTC – 2017 Regional Meeting

NTTC Materials Updated Scope Manual – later of (a) end of October or (b) within two weeks after Form 1040 Final NTTC additions to Pubs 4491 and 4012 – end of year Self-study lesson plans – November Slides – continue to incorporate feedback CO State Tax Meeting NTTC – 2017 Regional Meeting

Qualifying Child/Qualifying Relative laminate Available to order from fulfillment now For New volunteers (minor cut and tape changes for others) Terminology related to exemptions and other clarifications associated with tax law changes CO State Tax Meetin NTTC – 2017 Regional Meeting

Practice Lab 2018 Release expected in November Likely that some federal and state changes will continue after that Updated states in Practice Lab unknown (Dec 4 last year) CO State Tax Meeting

Numerous Law Changes Few Scope Changes COME TO IW TO LEARN MORE! Scope and Tax Law Numerous Law Changes Few Scope Changes COME TO IW TO LEARN MORE!

New Form 1040 “Postcard” 1040 created by moving many lines from “old” Form 1040 to separate schedules numbered 1–6 Schedules A, B, C, D, E, … still required if applicable We may use even more paper! CO State Tax Meeting

Highlight: One New Tax Law Change New deduction for Qualified Business Income (QBI) for self- employment income and Section 199A dividends* Can deduct lessor of 20% of QBI or 20% of taxable income before QBI New 1040 line Assuming at this point that TaxSlayer will handle arithmetic Schedule C net income limit of $157,500 to avoid limits applicable to specified service trades or businesses trade or business involving health, law, accounting, actuarial science, performing arts, consulting, athletics, financial services, brokerage services, or any trade or business where the principal asset of the trade or business is the reputation or skill of one or more of its owners or employees. CO State Tax Meeting

* 2018 Form 1099-DIV Old New Box 5. Shows dividends eligible for the 20% qualified business income deduction under section 199A. CO State Meeting

NTTC Workbook Updates

Two Types of Exercises Training Exercises Practice Exercises For Instructor use in a classroom setting Contain all the core topics usually encountered on the Advanced Exam Separate Instructor Guide PowerPoint Presentations Provided for volunteers to reinforce/refresh knowledge and skill For volunteers to demonstrate proficiency and meet certification requirements CO State Tax Meeting

NTTC TY2018 Workbook Training Exercises Designed for Instructors to teach tax law and TaxSlayer Instructors should modify as necessary to meet training needs Answers should be determined by Instructor Teams PowerPoint lesson presentations have been updated to version 2 CO State Tax Meeting

Questions & Answers CO State Tax Meeting