Posts Tagged ‘basis’
How do I determine my adjusted basis upon buy-out of a partnership?
February 25th, 2010 | 
Author: Me and a partner own a partnership that owns a rental property. I am going to buy my partner out, thereby terminating the partnership for tax purposes. My basis in the property (without adjustments) is $42,500 right now. I am buying him out for $92,500. How do I step up my basis to the proper amount on my taxes? I do not believe a section 754 election applies when a partnership is completely bought out and ceases to exist.
Thanks!
How can I increase basis in a partnership without making a capital contribution?
Would it be possible to loan money to the partnership through an entity which I control and personally guarantee that debt and then pay back the loan after the first of the year? Are there adverse consequences to doing that? I am fairly certain that the losses allocated to me will exceed my basis and I wanted to figure out a way to take advantage of this (legally) without putting more money into the partnership on a long term basis.
Posted in Partnership | 
Tags: basis, capital, contribution, increase, making, Partnership, without | 
2 Comments »
How do I determine the basis for a farm that was added to a living trust?
This farm was owned by my Granny’s husband before they married. They created a living trust and the farm became part of the trust. He has passed on and Granny is looking to sell. I need to understand the tax consequences.
