Partnership Distributions and Sales (PDAS)

Partnerships commonly make distributions to owners and are sometimes sold. Tax practitioners must understand the rules that apply in these circumstances to minimize their clients’ tax liability and ensure tax compliance. This program explores the tax rules dealing with partnership distributions and sales of a partnership interest.

Panelists are subject to change.

• Taxability and character of gain or loss when an interest in a partnership is sold
• Consequences of making a §754 election in the context of sale of a partnership interest
• Taxability of cash and property distributions made by a partnership to a partner
• When a loss can be recognized on a partnership distribution
• Differences between a liquidating and a nonliquidating partnership distribution
• Tax consequences of a partnership liquidating distribution
• Calculating a partner’s basis for purposes of determining if a partner has a gain or loss on distribution
• Impact of §704(c) on the contribution of appreciated or depreciated property to a partnership

• Understand the tax consequences of the sale of a partnership interest and the tax rules dealing with a partnership distribution of money and/or noncash property