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Business, 28.11.2019 06:31 oryunnis

Juan diego began the year with a tax basis in his partnership interest of $50,000. during the year, he was allocated $20,000 of partnership ordinary business income, $70,000 of §1231 losses, $30,000 of short-term capital losses, and received a cash distribution of $50,000. a) what items related to these allocations does juan diego actually report on his tax return for the year? [hint: see reg. §1.704-1(d)(2) and rev. rul. 66-94.] b) if any deductions or losses are limited, what are the carryover amounts and what is their character? [hint: see reg. §1.704-1(d).]

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