Tyson is a 25 percent partner in the KT Partnership. On January 1, KT makes a proportionate distribution of $16,000


Tyson is a 25 percent partner in the KT Partnership. On January 1, KT makes a proportionate distribution of $16,000 cash, inventory with a $10,000 fair value (inside basis $4,000), land A with a fair value of $8,000 (inside basis of $12,000), and land B with a fair value of $6,000 (inside basis of $4,000) to Tyson. KT has no liabilities at the date of the distribution. Tyson’s basis in his KT Partnership interest is $23,000. What is Tyson’s basis in the distributed inventory, land A, and land B


Leave a Reply

Your email address will not be published.