Partner Interest Sale

[solomon]

Partner previously made a 1.761-2 election out of subchapter K treatment and is selling to another partner - not a partnership redemption.

Sale Price - 2,000,000

Basis - 275,000

Unrecaptured 1250 depreciation - 875,000 - I am aware of 1.h - look through rule.

Will be reported as an installment sale. Is it adequate to use Form 6252 and Sch D or must it also go on a Form 4797 - I will pick up the 1250 depreciation from the 6252. Thanks.

[BOB W]

Page 2..........

..... of 4797 should show how the 1250 is arrived at.

[solomon]

Reported

I am fairly certain the 1250 unrecaptured depreciation will be reported on the final K-1.