Juan Diego began the year with a tax basis in his partnership interest of $52,600....
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Accounting
Juan Diego began the year with a tax basis in his partnership interest of $52,600. During the year, he was allocated $21,040 of partnership ordinary business income, $73,640 of 1231 losses, and $31,560 of short-term capital losses and received a cash distribution of $52,600. What items related to these allocations does Juan Diego actually report on his tax return for the year? [Hint: See Regulations 1.704-1(d)(2) and Revenue Rule 66-94.]
Amount Deducted Currently
1231 Losses
Short-term Capital Losses
If any deductions or losses are limited, what are the carryover amounts, and what is their character? [Hint: See Regulations 1.704-1(d).]
1231 Losses
Short-Term Capital Losses
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