05 Feb Compliance Issues for Liquidating Distributions of a Partner’s Interest in a Partnership
What is YOUR exit strategy from THAT partnership?...
Partnership Tag
09 Feb Business Entity Selection and the Tax Consequences of Converting
Business Entity Selection and the Tax Consequences of Converting...
17 Jan Nonresident Partners and Shareholders of Colorado Partnerships and S Corps
Posted at 00:00h
in Colorado Department of Revenue, Colorado Income Tax, Composite Tax Return, Partnership, Sub-chapter S
The Colorado Department of Revenue revised its guidelines in FYI Income 54 regarding people who do not live in Colorado but are partners and/or shareholders of partnerships and/or S corporations in Colorado, ensuring that pass-through entities pay Colorado income tax on their Colorado-source income. This post breaks...
23 Feb Partnership Vs. Qualified Joint Venture
Under IRC 761 the term partnership essentially includes a syndicate, group, pool, joint venture, or other unincorporated organization through or by means of which any business, financial operation, or venture is carried on, and which is not, a corporation or a trust or estate. It goes on to essentially state...
22 Feb Co-ownership of Rental Real Estate Does Not Require Partnership Formation
Generally co-ownership in rental property does not require the formation of a partnership when the following conditions are met. 1. Each co-owner must hold title to the property as a tenant in common (TIC) under local law. This usually doesn't apply community property. Although the title to the property...
28 Sep IRS Implications of Paying Yourself
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in Paying Taxes, Payroll Tax Problems, Sole Proprietor, Sub-chapter S, Tax Guidance & Preparation
Another fabulous question came my way today from a small business owner that is actually proving to be monetarily successful and wants to know how to pay herself while minimizing her tax burden. Basically the answer depends first on the type of business structure elected, sole proprietorship,...
20 Jul Characterizing Partner Distributions
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in Cost Basis, Distributions, Investment Income, Retirement, Small Business, Tax Guidance & Preparation, Taxable Income
Generally if payments are in exchange for partnership property, the amount received in excess of the partner’s outside basis in his/her partnership interest is taxed as capital gain. However if the payments represent a distributive share of partnership income or are deemed to be guaranteed payments, the payments are taxed as ordinary income. According to...