All income and expense items of a partnership that may be treated differently at the partner level must be "separately stated."

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This statement is true. According to the rules of partnership taxation, items that can be treated differently at the partner level (e.g. capital gains and losses, charitable contributions, and certain deductions) must be "separately stated" on the partnership's tax return. This allows each partner to report their share of these items on their personal tax return and potentially take advantage of individual tax benefits.

All Income and Expense Items of a Partnership That May