Clyde sold his 5 percent interest in Bluegrass Developers, LLC this year, recognizing a profit of $54,000. The LLC made the election several years ago to be treated as a partnership for purposes of the federal income tax. How soon must Clyde inform the partnership that he sold his interest therein?

by the closing date of the sale

by the later of 30 days following the transfer or by January 15 of the year following the year of the transfer

by the earlier of 45 days following the transfer or by January 15 of the year following the year of the transfer

by the earlier of 30 days following the transfer or by January 15 of the year following the year of the transfer