This year, FGH Partnership generated $730,000 ordinary business income. FGH has two equal partners: Triad LLC and Beta, an S corporation. Triad LLC has three members: Mr. Ty, who owns a 45percent interest; Mrs. U de, who owns a 35 percent interest; and V Inc., which owns a 20 percent interest. Beta has 100 shares of outstanding stock, all of which are owned by Ms. Byrd.

Required :Identify the taxpayers who must pay tax on the partnership income, and determine how much income must be reported by each.

 

Amount Mr. Ty Mrs. Ude V Inc. Ms. Byrd Triad LLC Beta