Lambo Tax Preparation AcademyLevel 3 · about 60 hours
Level 3 — Business Taxation
Level 3 starts with the questions every business return answers — what entity is this, what method does it use, and how does income reach the owners — then works through each return type. Learners first build the books-to-return bridge from a trial balance, because most business returns start from the client's accounting, not from tax forms.
Modules
10 modules · 60 module hours
Open the course| # | Module | Key content | Hours |
|---|---|---|---|
| 3.1 | Entity landscape | Sole proprietorship, single-member LLC, partnership, S corporation, C corporation; check-the-box; choosing and changing entity; EINs | 4 |
| 3.2 | Accounting for preparers | Reading a trial balance, balance sheet and P&L; cash vs accrual; book-to-tax differences; adjusting entries | 6 |
| 3.3 | Advanced Schedule C and F | Inventory and cost of goods sold, hobby loss rules, farm income basics, the QBI deduction (Form 8995/8995-A) | 6 |
| 3.4 | Depreciation and property | MACRS, Section 179 and bonus depreciation, listed property and vehicles, Form 4562, sales of business property (Form 4797), recapture | 8 |
| 3.5 | Partnerships (Form 1065) | Formation and contributions, ordinary income vs separately stated items, Schedule K and K-1, partner capital accounts, guaranteed payments, basis, Schedules K-2/K-3 awareness | 10 |
| 3.6 | S corporations (Form 1120-S) | Election (Form 2553) and eligibility, reasonable compensation, shareholder basis and distributions (Form 7203), accumulated adjustments account | 9 |
| 3.7 | C corporations (Form 1120) | 21% rate, dividends-received deduction, Schedule M-1/M-3, estimated payments, accumulated earnings basics | 6 |
| 3.8 | Payroll and information returns | Forms 941, 940, W-2/W-3, 1099-NEC/MISC filing (now a $2,000 threshold for payments made in 2026), 1099-K, worker classification | 5 |
| 3.9 | Business credits and limits | General business credit overview, interest limitation (163(j)) awareness, at-risk and passive activity rules, excess business loss | 3 |
| 3.10 | Practice issues | Due dates (March 15 for partnerships and S corps), extensions (Form 7004), late-filing penalties for pass-throughs, state composite and PTET returns | 3 |
3.1
Module
Entity landscape
Key content
Sole proprietorship, single-member LLC, partnership, S corporation, C corporation; check-the-box; choosing and changing entity; EINs
Hours
4
3.2
Module
Accounting for preparers
Key content
Reading a trial balance, balance sheet and P&L; cash vs accrual; book-to-tax differences; adjusting entries
Hours
6
3.3
Module
Advanced Schedule C and F
Key content
Inventory and cost of goods sold, hobby loss rules, farm income basics, the QBI deduction (Form 8995/8995-A)
Hours
6
3.4
Module
Depreciation and property
Key content
MACRS, Section 179 and bonus depreciation, listed property and vehicles, Form 4562, sales of business property (Form 4797), recapture
Hours
8
3.5
Module
Partnerships (Form 1065)
Key content
Formation and contributions, ordinary income vs separately stated items, Schedule K and K-1, partner capital accounts, guaranteed payments, basis, Schedules K-2/K-3 awareness
Hours
10
3.6
Module
S corporations (Form 1120-S)
Key content
Election (Form 2553) and eligibility, reasonable compensation, shareholder basis and distributions (Form 7203), accumulated adjustments account
Hours
9
3.7
Module
C corporations (Form 1120)
Key content
21% rate, dividends-received deduction, Schedule M-1/M-3, estimated payments, accumulated earnings basics
Hours
6
3.8
Module
Payroll and information returns
Key content
Forms 941, 940, W-2/W-3, 1099-NEC/MISC filing (now a $2,000 threshold for payments made in 2026), 1099-K, worker classification
Hours
5
3.9
Module
Business credits and limits
Key content
General business credit overview, interest limitation (163(j)) awareness, at-risk and passive activity rules, excess business loss
Hours
3
3.10
Module
Practice issues
Key content
Due dates (March 15 for partnerships and S corps), extensions (Form 7004), late-filing penalties for pass-throughs, state composite and PTET returns
Hours
3
| Key content | Hours | |
|---|---|---|
| 3.1 Entity landscape | Sole proprietorship, single-member LLC, partnership, S corporation, C corporation; check-the-box; choosing and changing entity; EINs | 4 |
| 3.2 Accounting for preparers | Reading a trial balance, balance sheet and P&L; cash vs accrual; book-to-tax differences; adjusting entries | 6 |
| 3.3 Advanced Schedule C and F | Inventory and cost of goods sold, hobby loss rules, farm income basics, the QBI deduction (Form 8995/8995-A) | 6 |
| 3.4 Depreciation and property | MACRS, Section 179 and bonus depreciation, listed property and vehicles, Form 4562, sales of business property (Form 4797), recapture | 8 |
| 3.5 Partnerships (Form 1065) | Formation and contributions, ordinary income vs separately stated items, Schedule K and K-1, partner capital accounts, guaranteed payments, basis, Schedules K-2/K-3 awareness | 10 |
| 3.6 S corporations (Form 1120-S) | Election (Form 2553) and eligibility, reasonable compensation, shareholder basis and distributions (Form 7203), accumulated adjustments account | 9 |
| 3.7 C corporations (Form 1120) | 21% rate, dividends-received deduction, Schedule M-1/M-3, estimated payments, accumulated earnings basics | 6 |
| 3.8 Payroll and information returns | Forms 941, 940, W-2/W-3, 1099-NEC/MISC filing (now a $2,000 threshold for payments made in 2026), 1099-K, worker classification | 5 |
| 3.9 Business credits and limits | General business credit overview, interest limitation (163(j)) awareness, at-risk and passive activity rules, excess business loss | 3 |
| 3.10 Practice issues | Due dates (March 15 for partnerships and S corps), extensions (Form 7004), late-filing penalties for pass-throughs, state composite and PTET returns | 3 |
3.1 Entity landscape
Key content
Sole proprietorship, single-member LLC, partnership, S corporation, C corporation; check-the-box; choosing and changing entity; EINs
Hours
4
3.2 Accounting for preparers
Key content
Reading a trial balance, balance sheet and P&L; cash vs accrual; book-to-tax differences; adjusting entries
Hours
6
3.3 Advanced Schedule C and F
Key content
Inventory and cost of goods sold, hobby loss rules, farm income basics, the QBI deduction (Form 8995/8995-A)
Hours
6
3.4 Depreciation and property
Key content
MACRS, Section 179 and bonus depreciation, listed property and vehicles, Form 4562, sales of business property (Form 4797), recapture
Hours
8
3.5 Partnerships (Form 1065)
Key content
Formation and contributions, ordinary income vs separately stated items, Schedule K and K-1, partner capital accounts, guaranteed payments, basis, Schedules K-2/K-3 awareness
Hours
10
3.6 S corporations (Form 1120-S)
Key content
Election (Form 2553) and eligibility, reasonable compensation, shareholder basis and distributions (Form 7203), accumulated adjustments account
Hours
9
3.7 C corporations (Form 1120)
Key content
21% rate, dividends-received deduction, Schedule M-1/M-3, estimated payments, accumulated earnings basics
Hours
6
3.8 Payroll and information returns
Key content
Forms 941, 940, W-2/W-3, 1099-NEC/MISC filing (now a $2,000 threshold for payments made in 2026), 1099-K, worker classification
Hours
5
3.9 Business credits and limits
Key content
General business credit overview, interest limitation (163(j)) awareness, at-risk and passive activity rules, excess business loss
Hours
3
3.10 Practice issues
Key content
Due dates (March 15 for partnerships and S corps), extensions (Form 7004), late-filing penalties for pass-throughs, state composite and PTET returns
Hours
3
Mastery gates
Each module ends in a return or quiz that must score 85% or higher (returns: zero material errors) before the next unlocks.
Level 3 capstone
One client, three years — a sole proprietor (year 1) who forms a two-member LLC taxed as a partnership (year 2), then elects S status (year 3). The learner prepares each year's entity return and the owners' K-1 flow to their 1040s, tracking basis throughout.
Business current-law spotlight
100% bonus depreciation restored permanently for qualifying property acquired after January 19, 2025; Section 179 limit of $2.5 million with a $4 million phase-out threshold, indexed from 2026; the 20% QBI deduction made permanent with a $400 minimum for taxpayers with at least $1,000 of qualified business income; the 1099-K threshold back at $20,000 and 200 transactions.
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