[Anonymous]

So, we get drilled repeatedly on the impact of partnership operating income and partnership liabilities on a partner’s outside basis, but what impact do separately stated items (Interest Income, 179 Expense, Charitable Contributions, etc) have on a partner’s outside basis? Sorry if this is a stupid question, but I seem to be having difficulty finding clarification to this in Becker.

Thanks!

[mmp3]

derkaderka: The separately stated items also increase/decrease the partner's outside basis like a bank account. For example, any charitable contributions passed through would decrease basis and are potentially deductible to the partner. Interest income would increase basis whether it's taxable or not. If you do enough of the mcqs in Becker you should come across a few of these examples. Hope that helps.

FAR 92 (2/27/13)
AUD 99 (4/18/13)
REG 93 (7/5/13)
BEC 92 (8/12/13)

Becker Self Study

[Author]

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