If a Personal-Use Asset Is Contributed to a Partnership for Business

question 32

True/False

If a personal-use asset is contributed to a partnership for business use,the partnership's basis in the asset is always the FMV of the asset.

---

Definitions:

Regional Effects

Regional effects refer to the impacts or consequences of natural or human activities that are felt over a wide geographic area, often crossing administrative boundaries.

Plate Boundaries

The edges where two tectonic plates meet, characterized by geological activities such as earthquakes and volcanic eruptions.

Fault

a crack in the Earth's crust resulting from the displacement of one side with respect to the other.

Subsiding

The process of sinking or settling of the Earth's surface, often due to natural geological processes or extraction of underground resources.