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A payment to a retiring partner for his or her share of goodwill of a partnership in which capital is not a material income-producing factor
A payment to a retiring partner for his or her share of goodwill of a partnership in which capital is not a material income-producing factor may be classified as a 736(a) income payment and results in ordinary income to the retiring partner and a current deduction to the partnership
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Managerial Accounting
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac
10th Edition
B010IKDQZM
