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Joe has a $54,000 basis in his 50% partnership interest in the Biden Partnership before receiving any distributions. Biden Partnership makes an operating distribution to
Joe has a $54,000 basis in his 50% partnership interest in the Biden Partnership before receiving any distributions. Biden Partnership makes an operating distribution to Joe of a parcel of land ($80,000 FMV; $64,000 A/B). The land is encumbered with a $30,000 mortgage (Biden Partnership's only liability). What is Joe's basis in the land and his remaining basis in Biden Partnership after the distribution?
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