When Kaylas basis in her interest in the JKL Partnership is $30,000, she receives a current distribution

Question:

When Kayla’s basis in her interest in the JKL is $30,000, she receives a current of office equipment. The equipment has an FMV of $40,000 and basis of $35,000. Kayla will not use the office equipment in a business activity. What tax issues should Kayla consider with respect to the Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most... Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...