Question #22. Lori and Che are equal partners in a partnership. Loris outside basis is...
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Accounting
Question #22. Lori and Che are equal partners in a partnership. Loris outside basis is $10,000. The partnership distributes to Lori in a nonliquidating distribution a parcel of land that has a tax basis of $11,000 and a fair market value of $14,000.
a. What is the tax consequence of the distribution to Lori?
b. What is Loris tax basis in the land that was distributed to him from the partnership?
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