Partnership's allocation method satisfies sec. 704(b) and (c).: An article from: The Tax Adviser

This digital document is an article from The Tax Adviser, published by American Institute of CPA's on January 1, 1996. The length of the article is 513 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available in your Amazon.com Digital Locker immediately after purchase. You can view it with any web browser.

From the supplier: The IRS found in Letter Ruling 9540034 that an oil and gas partnership's allocation method had substantial economic effect under IRS section 704(b) and was appropriate for section 704(c) property. One partner conducted drilling operations and the other partner contributed a land lease. The capital accounts were adjusted consistent with the section 704(b) regulations. Liquidating distributions were made in accordance with the capital accounts, and deficit balances in capital accounts would have to be restored following liquidation.

Citation Details
Title: Partnership's allocation method satisfies sec. 704(b) and (c).
Author: Barksdale Penick
Publication:The Tax Adviser (Magazine/Journal)
Date: January 1, 1996
Publisher: American Institute of CPA's
Volume: 27 Issue: n1 Page: 18(1)

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