Examlex

Solved

Dinia Has Agreed to Provide Services Valued at $30,000 to the L-M

question 14

Essay

Dinia has agreed to provide services valued at $30,000 to the L-M Partnership. On January 1 of the current year, she is given a 20% capital and profits interest in the partnership in exchange for her services. The partnership has no liabilities at the time but has assets with a basis of $50,000 and an FMV of $70,000. What are the tax consequences to Dinia and the partnership?


Definitions:

Related Questions