The XYZ Partnership is being formed by three partners. Their ownership in the partnership, and tax year ends are listed below. Using the least aggregate deferral method in the table below, determine which tax year the partnership can elect. June 30 Sept 30 Dec 31 deferral deferral deferral (# Total Total (# Total (# months) months) months) June X 30% 0 0 30 9 1.8 Sept Y 30% 3 0.9 9 2.7 30 Z 40% Dec 31 6 2.4 Total 3.3 0 0 4.5 Which tax year can the partnership elect without IRS permission? 6/30 or 9/30 or 12/31?

The XYZ Partnership is being formed by three partners. Their ownership in the partnership, and tax year ends are listed below. Using the least aggregate deferral method in the table below, determine which tax year the partnership can elect. June 30 Sept 30 Dec 31 deferral deferral deferral (# Total Total (# Total (# months) months) months) June X 30% 0 0 30 9 1.8 Sept Y 30% 3 0.9 9 2.7 30 Z 40% Dec 31 6 2.4 Total 3.3 0 0 4.5 Which tax year can the partnership elect without IRS permission? 6/30 or 9/30 or 12/31?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Required information [The following information applies to the questions displayed below.] Melissa, Nicole, and Miguel are equal partners in the Opto Partnership (a calendar-year-end entity). Melissa decides she wants to exit the partnership and receives a proportionate distribution to liquidate her partnership interest on January 1. The partnership has no liabilities and holds the following assets as of January 1: Cash Accounts receivable Stock investment Land Totals Tax Basis $ 18,360 7,740 31,200 FMV $ 18,360 0 24,480 12,600 38,400 $ 57,300 $ 93,840 Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $25,780. Note: Leave no answer blank. Enter zero if applicable. b. What is Melissa's basis in the distributed assets? Answer is not complete. Basis Cash $ 6,120 Accounts receivable $ Stock investment Land
Dividing Partnership Net Income Required: Steve Conyers and Chelsy Stevens formed a partnership, dividing income as follows: 1. Annual salary allowance to Conyers of $125,280. 2. Interest of 7% on each partner's capital balance on January 1. 3. Any remaining net income divided to Conyers and Stevens, 1:2. Conyers and Stevens had $66,000 and $105,000, respectively, in their January 1 capital balances. Net income for the year was $216,000. How much is distributed to Conyers and Stevens? Note: Compute partnership share. Conyers: $ Stevens: $
On December 31, 2014, LBM Partnership’s accounts show the following. Answer the following questions under the different scenarios. Partner Drawings Capital Lisa $23,000 $48,000 Bart 14,000 30,000 Maggie 10,000 25,000 Scenario1: Net income for the year is $30,000. Income is shared 60% to Lisa, 30% to Bart, and 10% to Maggie. How much is each partner’s share of the income? Lisa Bart Maggie Scenario 2: Net income was $60,000 for the year. Lisa and Bart are each given a $15,000 salary allowance. The remainder is shared equally. Prepare a schedule showing the division of net income. Lisa Bart Maggie Total Salary allowance Remaining income Total division of net income Scenario 3: Net income was $24,000 for the year. Each partner is given a 10% interest on beginning capital balances. Lisa is given a $10,000 salary allowance and $5,000 is…
Desiree and Company, a general professional partnership had a gross income of P450,000 and expenses of P125,000 in 2018. The following data pertains to the two (2) individual partners: Amount advanced from partnership income Share in profit and loss ratio Gross income (other business) Expenses (other business) Dividend from domestic company Interest on bank deposit Status Number of dependent children The income tax payable by the partnership is - a. P 0 b. Exempt c. 104,000 d. 113,750 Desiree P 40,000 40% 260,000 65,000 8,500 Married 2 Desiderio P 60,000 60% 3,000 Single none
The partnership of Chase and Chloe shares profits and losses in a 70:30 ratio respectively after Chloe receives a $14,000 salary. Prepare a schedule showing how the profit and loss should be divided, assuming the profit or loss for the year is: If an amount is zero, enter "0". For those boxes in which you must enter subtractive or negative numbers use a minus sign. (Example: -300) A. $40,000 Chase Chloe Total Salaries $4 Remaining income allocation Total division of income B. $12,000 Chase Chloe Total Salaries Remaining income allocation Total division of income C. S(10,000) Chase Chloe Total Salaries Remaining income allocation Total division of income %24 %24 %24 %24 %24 %24 %24 %24
Domestic
The question is in highlighted part. thank you
Haresh G
Dividing Partnership Net IncomeSteve Queen and Chelsy Bernard formed a partnership, dividing income as follows:Annual salary allowance to Queen of $112, 560. Interest of 6% on each partner's capital balance on January 1. Any remaining net income divided to Queen and Bernard, 1:2. Queen and Bernard had $51,000 and $105,000, respectively, in their January 1 capital balances. Net income for the year was $201,000. How much net income should be distributed to Queen and Bernard?
3. The DE partnership is equally owned by Diana and Emily. Diana's fiscal year ends on March 31, and Emily's fiscal year ends on August 31. a. Please name or describe the three tests/tiers to determine a partnership's year end. b. Please use the appropriate tests and tell me DE's appropriate year end.