Jennifer has a 25 percent interest in the Aspen Aircraft partnership.Her basis in her partnership interest is $10,000 at the beginning of the year.The partnership reported the following activity for the year: $\begin{array}{llcc}
\text {Ordinary income } &\$40,000 \
\text { Section 1231 gain} &\$10,000\
\text {Charitable contribution } &\$12,000\
\text {Total distributions to partners } &\$28,000\
\end{array}$
What is Jennifer's basis in her partnership interest at the end of the year?

Question

Jennifer has a 25 percent interest in the Aspen Aircraft partnership.Her basis in her partnership interest is $10,000 at the beginning of the year.The partnership reported the following activity for the year: $\begin{array}{llcc}
  \text {Ordinary income  } &\$40,000  \
 \text {  Section 1231 gain} &\$10,000\
 \text {Charitable contribution  } &\$12,000\
 \text {Total distributions to partners  } &\$28,000\
\end{array}$
 What is Jennifer's basis in her partnership interest at the end of the year?

Quizplus · Accepted Answer

The Answer of Jennifer has a 25 percent interest in the Aspen Aircraft partnership.Her basis in her partnership interest is $10,000 at the beginning of the year.The partnership reported the following activity for the year: $\begin{array}{llcc}
  \text {Ordinary income  } &\$40,000  \
 \text {  Section 1231 gain} &\$10,000\
 \text {Charitable contribution  } &\$12,000\
 \text {Total distributions to partners  } &\$28,000\
\end{array}$
 What is Jennifer's basis in her partnership interest at the end of the year?

Jennifer Has a 25 Percent Interest in the Aspen Aircraft