Jane Contributes Land with an FMV of $100,000 and a Basis

question 58

Essay

Jane contributes land with an FMV of $100,000 and a basis of $40,000 to the Green Partnership in exchange for a 25% partnership interest. The partnership assumes the $80,000 mortgage on the land. Mary has a 25% share of partnership liabilities. The Green Partnership has $8,000 in liabilities immediately before Jane's contribution. What is Jane's basis in her partnership interest?

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Definitions:

Divorce Hangover

Emotional and psychological challenges that persist after a divorce, affecting individuals' well-being and adjustment.

Unreasonable Demands

Requests or expectations from one party to another that are overly excessive and not feasible or fair under the circumstances.

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A legal custody arrangement in which both parents share the decision-making responsibilities for their child.

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The treatment and instruction received by a child from its parents throughout its childhood.