RZNY, LP., is a calendar-year, cash-basis limited partnership. Marc Liu, an individual, owns a 55% interest in
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RZNY, LP., is a calendar-year, cash-basis limited partnership. Marc Liu, an individual, owns a 55% interest in RZNY as a general partner. During Year 1, RZNY had the following results:
- Sales - $10,000,000
- Cost of goods sold - $7,000,000
- General and administrative costs - $1,500,000
- Guaranteed payment to Marc Liu - $112,000
- Dividend income - $100,000
- $30,000 of dividend income is qualified
- Interest income - $200,000
- $20,000 of interest is municipal bond interest
- Distributions to Marc Liu - $70,000
- Proceeds - $30,000 for the sale of securities acquired February 1, Year 1, for $20,000 and sold on June 30, Year 1
- Proceeds - $30,000 for the sale of an asset used in the course of business, which was acquired 3 years prior for $50,000 and was sold on September 1, Year 1
- Adjusted tax basis on September 1, Year 1, was $35,000
Complete the following components of Marc Liu's Schedule K-1, Partner's Share of Income, Deductions, Credits, etc., for Year 1 by clicking in the cells and entering the requested values.
Enter income or gains as positive, whole values and losses as negative, whole values. If a response is zero, enter a zero (0).
Related Book For
Canadian Income Taxation planning and decision making
ISBN: 9781259094330
17th edition 2014-2015 version
Authors: Joan Kitunen, William Buckwold
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