Announcement

Collapse
No announcement yet.

partnership basis and se

Collapse
X
Collapse
 
  • Page of 1
  • Filter
  • Time
  • Show
Clear All
new posts
Previous template Next
    #1

    partnership basis and se

    K-1 shows line 1 ordinary income -$49018 and line 4 guaranteed payments of $41600. Taxpayers basis is $9980. Because of the basis he is going to have net income of $31620. Does he pay SE tax?
    Tags: None
    #2
    Yes. If you can't use a loss to reduce your income tax, you can't use it to reduce your SE tax. Basis limitations apply to both equally.

    Comment

    Previous template Next

    Disclaimer

    Collapse

    This message board allows participants to freely exchange ideas and opinions on areas concerning taxes. The comments posted are the opinions of participants and not that of Tax Materials, Inc. We make no claim as to the accuracy of the information and will not be held liable for any damages caused by using such information. Tax Materials, Inc. reserves the right to delete or modify inappropriate postings.

    Working...
    X