The Sports Barn Partnership had the following tax information for the current tax year. Sports Barn has
Question:
The Sports Barn Partnership had the following tax information for the current tax year. Sports Barn has two partners, Jeff and Greg. Jeff is allocated 60% of gains and losses and Greg is allocated 40%.
Revenue $80,000
Interest income 2,000
Salaries 10,000
Section 1245 depreciation expense 3,000
Section 1231 gain 5,000
Charitable contributions 1,000
Jeff's basis in his partnership interest is $20,000 at the beginning of the year. What is Jeff's basis at the end of the tax year?
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill