If a Partner Has a More Than 50 Percent Interest

question 12

True/False

If a partner has a more than 50 percent interest in a partnership, a capital gain resulting from the sale of property by the partner to the partnership will be taxed as ordinary income to the partner, provided the property is not a capital asset to the partnership.

---

Definitions:

Cognitive Therapy

A type of psychotherapy focused on changing negative thoughts and beliefs to improve emotional well-being and behavior.

Transference

A psychological phenomenon where emotions, desires, and expectations originally associated with one person are unconsciously transferred onto another person, especially in psychoanalytic contexts.

Resistance

In psychoanalysis, the blocking from consciousness of anxiety-laden material.

Unconditional Positive Regard

A non-judgmental acceptance and support of a person regardless of what the person says or does, often considered important in therapeutic settings.