Brent is a general partner in BC Partnership.His distributive share of partnership income and his guaranteed payment for the year are as follows: What is his self-employment income?

Question

Brent is a general partner in BC Partnership.His distributive share of partnership income and his guaranteed payment for the year are as follows:  What is his self-employment income?

Quizplus · Accepted Answer

Brent's self-employment income is calculated by adding his distributive share of partnership income and his guaranteed payment, then subtracting any expenses that can be attributed to his self-employment.

In this case, Brent's distributive share of partnership income is $60,000 and his guaranteed payment is $6,000, for a total of $66,000. There is no information given about any expenses that can be attributed to Brent's self-employment, so we cannot subtract any expenses from this amount.

Therefore, Brent's self-employment income is $66,000.

Brent Is a General Partner in BC Partnership