A) The Section 1231 Gain and Section 1231 Loss rules and the Section 1245 Depreciation Recapture and Section 1250 Depreciation Recapture rules apply, directly or indirectly, to Partnerships, S Corporations and Regular (C) Corporations. True False B) Joubert and Norman each have a fifty percent (50%) ownership interest in Denise Partnership. Each partner has an Adjusted Basis in her Partnership Interest of $100,000. Denise Partnership's Taxable Income for the current year is $80,000 and it distributes $50,000 to each partner. Joubert's basis in her Partnership interest at the end of the year is $140,000. True False

SWFT Individual Income Taxes
43rd Edition
ISBN:9780357391365
Author:YOUNG
Publisher:YOUNG
Chapter20: Corporations And Parterships
Section: Chapter Questions
Problem 55P
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A)  The Section 1231 Gain and Section 1231 Loss rules and the Section 1245 Depreciation Recapture and Section 1250 Depreciation Recapture rules apply, directly or indirectly, to Partnerships, S Corporations and Regular (C) Corporations.

True

False

B)  Joubert and Norman each have a fifty percent (50%) ownership interest in Denise Partnership. Each partner has an Adjusted Basis in her Partnership Interest of $100,000. Denise Partnership's Taxable Income for the current year is $80,000 and it distributes $50,000 to each partner. Joubert's basis in her Partnership interest at the end of the year is $140,000. 

True

False

Answer Both Please

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