Using Personal Tax Returns for Global Cashflow: What's Cashflow and What Isn't

Understanding and quantifying Global Cashflow is becoming more of a necessity for financial institutions which lend money to businesses. Understanding and analyzing the information contained in personal income tax returns is an important aspect of recognizing the financial condition of loan guarantors. In order to accurately calculate global cashflow, a lender needs to know how to take information in personal tax returns and apply it correctly. This program will assist lenders in interpreting the information contained in personal tax returns in order to determine the ability of customers who are guaranteeing loans to add strength to loan requests. Attendees of this webinar will work with individual federal tax return forms and schedules to help identify the places in tax returns that address cashflow as well as those places that don’t. 

At the end of this webinar, participants will be able to know what forms and schedules in personal tax returns that they should pay attention to and what they should ignore. 

Covered Topics

  • Understanding those sections of the tax return that are important in order to determine a borrower’s ability to generate cashflow
  • Identifying cash inflows and cash outflows from tax returns
  • The relevance of information contained in various Tax Schedules
  • The difference between cashflow and taxable income
  • Understanding how personal cashflow is generated from owning small businesses; sole proprietorships, partnerships; corporations and Limited Liability Companies
  • What K-1 Schedules Tell Us

Who Should Attend?

Credit Analysts, Loan Officers, Branch Managers, Loan Committee Members