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As with S corporations, we track a partner's basis in his or her partnership interest (otherwise known as the outside basis) as a measurement of
As with S corporations, we track a partner's basis in his or her partnership interest (otherwise known as the outside basis) as a measurement of the amount of post-tax investment that the partner has in the partnership. Do we calculate and adjust a partner's outside basis in the same way that we calculate S corporation shareholders' stock basis? If there are any differences, what are the justifications for the differences?
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