Harry and Sally formed the evergreen partnership by contributing the following assets in exchange for a 50 percent capital and profits interest in the partnership: Basis Fair Market Value
- Harry and Sally formed the evergreen
Basis Fair Market Value
Harry:
Cash $30,000 $30,000
Land $100,000 $120,000
Totals $130,000 $150,000
Sally:
Equipment used in business $200,000 $150,000
Totals $200,000 $150,000
- What’s Harry’s tax basis in his partnership interest?
- What’s Sally’s tax basis in his partnership interest?
- What’s Evergreens’ tax basis in its assets?
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