7. A partner recognizes gain if the cash received in a current distribution exceeds the basis in the partnership interest. 8. No gain or loss is recognized to a partnership during current or liquidating distributions. 9. A sale of a partnership interest may result in both capital gain and ordinary income. 10. Partnership organizational expenditures are never currently deductible. 7. A partner recognizes gain if the cash received in a current distribution exceeds the basis in the partnership interest. 8. No gain or loss is recognized to a partnership during current or liquidating distributions. 9. A sale of a partnership interest may result in both capital gain and ordinary income. 10. Partnership organizational expenditures are never currently deductible