Course Details

Taxation of Debt Instruments and other Financial Transactions

This course provides a basic background in tax issues with respect to financial transactions, with special attention to tax issues that arise with respect to debt transactions. The course will address the accrual of interest income and expense with respect to debt issuances, including the application of the original issue discount rules. This coverage will include an analysis of the various interest limitations that can apply to defer or disallow interest deductions in certain circumstances. The course will also cover the tax consequences of hedging transactions in the context of debt instruments. In addition, the course will cover the tax consequences that arise when a loan becomes distressed from the standpoint of both the debtor and the creditor. This coverage will include accounting for interest on distressed debt, bad debt deductions, contributing debt to capital, and cancellation of debt income. Finally, the course will address various monetization and hedging structures that are common in the marketplace.

Catalog Number: TAXLAW 644
Practice Areas: Taxation Practice Area


Course History

Spring 2021
Title: Bankruptcy Taxation
Faculty: Larkins, Richard (courses | profile)
Section: 1     Credits: 2.0
Capacity: 70     Actual: 16

Spring 2020
Title: Bankruptcy Taxation
Section: X     Credits: 2.0
Capacity: 30     Actual: 0