While only one-half of partnership capital gains will be included in the Net Income For Tax Purposes of a partner, 100 percent of such gains will be added to the adjusted cost base of the partner's partnership interest.

Question

Quizplus · Accepted Answer

This statement is true. Only one-half of partnership capital gains will be included in the partner's Net Income For Tax Purposes, but 100 percent of such gains will be added to the adjusted cost base of the partner's partnership interest.

While Only One-Half of Partnership Capital Gains Will Be Included