Simon is a 30 percent partner in the SBD Partnership, a calendar year-end entity. As of the end of this year, Simon has an outside basis in his interest in SBD of $188,000, which includes his share of the $60,000 of partnership liabilities. On December 31, SBD makes a proportionate distribution of the following assets to Simon: Tax Basis FMV Cash Inventory Land Totals $ 40,000 40,000 65,000 39,945,000 $125,000 $150,000 55,000 30,000 t CO s, basis in dist istri at are the tax consequences n operating dis stributio aistnbuton? b1. What are the tax cons nd character of re ain o butio a liquid on? b2. what are the tax consequences (basis in distributed assets after allocation) of the distribution to Simon if the distributio is a liquidating distribution? eq Req B Req B2 What are the tax consequences (basis in distributed assets) of the distribution to Simon if the distribution is a liquidating distribution? Basis Cash inventory Land