Amber has a tax basis of $67,000 in her partnership interest in Lightfoot Partnership, which consists of her $27,000 net contribution to partnership capital and her $40,000 share of partnership debt.Amber receives a distribution of land (a capital asset) with a tax basis of $39,000 and a fair market value of $106,000 in complete liquidation of her partnership interest.The property is not encumbered by any of the partnership's liabilities.What is Amber's tax basis for the distributed property?

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The Answer of Amber has a tax basis of $67,000 in her partnership interest in Lightfoot Partnership, which consists of her $27,000 net contribution to partnership capital and her $40,000 share of partnership debt.Amber receives a distribution of land (a capital asset) with a tax basis of $39,000 and a fair market value of $106,000 in complete liquidation of her partnership interest.The property is not encumbered by any of the partnership's liabilities.What is Amber's tax basis for the distributed property?

Amber Has a Tax Basis of $67,000 in Her Partnership