Marjorie works for a large firm whose business is to find suitable real estate, establish a limited partnership to purchase the property, and then sell the limited partnership interests In the current year, Marjorie received a 5 limited partnership interest in the Eldorado Limited Partnership Marjo...

Marjorie Income 15000 20000 FMV of interest 5000 ca ...

Marjorie works for a large firm whose business is to find suitable real estate, establish a limited

Question:

Marjorie works for a large firm whose business is to find suitable real estate, establish a limited to purchase the property, and then sell the limited interests. In the current year, Marjorie received a 5% limited interest in the Eldorado Limited Marjorie received this interest partially in payment for her services in selling interests to others, but she also was required to contribute $5,000 in cash to the Similar limited interests sold for $20,000 at approximately the same time that Marjorie received her interest. What are the tax consequences for Marjorie and the Eldorado Limited of Marjorie’s receipt of the interest?
Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...