Jason is a 50% partner in Jason's Jym, LLC. His basis in his partnership interest is $50,000 as of 1/1/2022. The schedule K for the partnership's 2022 tax year is listed below: Schedule K Item Ordinary Income Dividend Income Long-term capital gain Charitable Contributions Schedule K Total $100,000 $50,000 $20,000 $50,000 What amount of income would Jason need to report on his 1040 based on his partnership earnings? Explain which portion of this would be ordinary income or deduction and which portion would be capital gain or loss. What would his new basis in the partnership be at the end of the year?
Jason is a 50% partner in Jason's Jym, LLC. His basis in his partnership interest is $50,000 as of 1/1/2022. The schedule K for the partnership's 2022 tax year is listed below: Schedule K Item Ordinary Income Dividend Income Long-term capital gain Charitable Contributions Schedule K Total $100,000 $50,000 $20,000 $50,000 What amount of income would Jason need to report on his 1040 based on his partnership earnings? Explain which portion of this would be ordinary income or deduction and which portion would be capital gain or loss. What would his new basis in the partnership be at the end of the year?
Chapter21: Partnerships
Section: Chapter Questions
Problem 25CE
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Transcribed Image Text:Jason is a 50% partner in Jason's Jym, LLC. His
basis in his partnership interest is $50,000 as of
1/1/2022. The schedule K for the partnership's
2022 tax year is listed below:
Schedule K Item
Ordinary Income
Dividend Income
Long-term capital
gain
Charitable
Contributions
Schedule K
Total
$100,000
$50,000
$20,000
$50,000
What amount of income would Jason need to
report on his 1040 based on his partnership
earnings? Explain which portion of this would
be ordinary income or deduction and which
portion would be capital gain or loss. What
would his new basis in the partnership be at
the end of the year?
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