Question: You invested $ 2 , 2 0 0 , 0 0 0 in a partnership in 2 0 2 0 and agreed to 4 0

You invested $2,200,000 in a partnership in 2020 and agreed to 40% of all income and losses. In 2020, the partnership reported a loss of $3,000,000. In 2021 the partnership reported a loss of $2,000,000. In year 3 the partnership has a loss of $1,000,000. In year 3, you invested enough money to avoid unused losses. In year 4 the partnership reported a profit of $1,500,000. In year 4 another partner withdrew $75,000. In year 5 the partnership reported a profit of $1,000,000. At the beginning of year 6, you sold your partnership interest for $4,500,000. Prepare your basis schedule in the partnership.

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