Question: 5 . If a partnership has made a 7 5 4 election and a partner sells his or her partnership interest to someone else A

5. If a partnership has made a 754 election and a partner sells his or her partnership interest to someone else
A. the buying partner can make an adjustment under 743(b) to their basis in the partnership assets to take into account the amount actually paid for the partners interest in those assets.
B. the buying partner can make an adjustment under 734(b) to their basis in the partnership assets to take into account the amount actually paid for the partners interest in those assets.
C. the selling partner can make an adjustment under 743(b) to their basis in the partnership assets to take into account the amount actually paid for the partners interest in those assets.
D. The selling partners gain on the sale is always 100% long-term capital gain.

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