William Is a General Partner in the WST Partnership

question 156

True/False

William is a general partner in the WST partnership. During the current year, he receives a guaranteed payment of
$10,000 for services he provides to the partnership, and his distributive share of partnership income is $30,000. William is required to pay self-employment tax on the $10,000 guaranteed payment but not on his distributive share of partnership income.

---

Definitions:

Rumination

The act of continuously thinking about the same thoughts, often negative, which can lead to emotional distress.

Type A Behavior

A personality pattern characterized by high levels of competitiveness, impatience, and a sense of urgency.

Cynical Hostility

A negative attitude characterized by mistrust of others, cynicism, and a belief that people are motivated by selfishness.

Time Urgency

A feeling of pressure to complete tasks and activities quickly, often associated with stress and anxiety.