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Mustafa's owns a 50% profits and capital interest in Lion LLC. His tax basis in his partnership interest at the beginning of the year
Mustafa's owns a 50% profits and capital interest in Lion LLC. His tax basis in his partnership interest at the beginning of the year was $20,000. Lion's (nonrecourse) debt increased from $50,000 to $70,000 during the year and it reported $6,000 of ordinary business income. What is Mustafa's tax basis in his partnership interest at the end of the year? $33,000 $23,000 $46,000 $0 O None of the available answers are correct.
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