An example of the aggregate concept underlying partnership taxation is the fact that the partners (rather than the partnership) pay tax on partnership income.

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In partnership taxation, the partnership itself is not taxed on its income. Instead, the income is passed through to the partners who then report and pay taxes on their share of the partnership income on their individual tax returns. This reflects the aggregate concept, where the partnership is treated as an aggregation of its individual partners for tax purposes.

An Example of the Aggregate Concept Underlying Partnership Taxation Is