ABCD is an equal four-person partnership that has a fiscal year ending on June 30. For its fiscal year ending on June 30, 2022, ABCD has $732,000 in ordinary income, $200,000 of which was earned prior to December 1, 2021. In addition, ABCD has a net long-term capital gain of $80,000 from the sale of stock on May 1, 2022.

On December 1, 2021, A sells her 25% partnership interest to P. Both A and P are calendar year taxpayers.

(a) How will the partnership’s taxable income for its FYE of June 30, 2022, allocable to the 25% interest that was sold by A, be divided between A and P if the partnership uses (i) the interim closing method and the semi-monthly convention, or (ii) the proration method?

(b) In what calendar year must A report her share of that income?