The Seagull Partnership has three equal partners.Partner A's tax year ends June 30th,and Partners B and C use a calendar year.If the partnership uses the calendar year to report its income,Partner A is permitted to defer partnership income earned from July through December 2011 until he files his tax return for his year ending June 30,2012.

Question

Quizplus · Accepted Answer

Partner A can defer reporting the partnership income earned from July through December 2011 until the tax year ending June 30, 2012, because the partnership uses a calendar year, allowing Partner A to align the income reporting with his fiscal year.

The Seagull Partnership Has Three Equal Partners