This second article in a two-part series explores common tax considerations preceding and following an IPO employing an Up-C structure.
IRS Chief Counsel Advice interpreted whether Sec. 752 should be used to determine whether a partnership’s debt is recourse or nonrecourse for purposes of COD income rules.
This first article in a two-part series covers the Up-C’s basic structure and how it is implemented.
The new rules would apply to partnership returns filed for tax years beginning after Dec. 31, 2017.
A partnership distribution may consist of cash, property, or both. In addition, any reduction of a partner’s share of partnership liabilities is treated as an actual distribution of cash.
This item explores some common issues encountered by foreign taxpayers adopting transparent U.S. LLCs to invest or operate in the United States.
A consent to extend the limitation period for the assessment for partnership items signed by the tax matters partner of a partnership in his capacity as the tax matters partner of another partnership was valid because the individual had the apparent authority to sign the consent.
The IRS issued proposed regulations that require a nonexclusive six-factor test to determine whether payments from a partnership to a partner are disguised payments.
The IRS intends to issue regulations under Sec. 721(c) to ensure that a U.S. person recognizes gain either immediately or periodically when it transfers certain property to a partnership that has foreign partners related to the transferor.
James M. Greenwell received the award for his article on Sec. 704(c) Allocations.
Audits of flowthrough entities such as partnerships cause administrative complexity for the IRS and taxpayers because the audit sometimes drags on longer than the statute-of-limitation period for the IRS to make an adjustment.
This column reviews the income tax rules that come into play upon a partner’s death.
The IRS issued final regulations on determining partners’ distributive shares of partnership items when a partner’s interest varies during the partnership’s tax year.
The short-term highway funding extension passed by the Senate contains several important tax provisions.
Temporary regulations prevent corporations from avoiding tax through the use of partnerships.
The IRS will apply a six-factor test to determine whether payments to partners are disguised payments for services under proposed regulations.
Determining whether each individual member of an LLC materially participates requires assumptions that can pose problems.
It is not uncommon for a partnership to attempt to make a valid Sec. 754 election, only to find that it failed to satisfy regulatory requirements.
Identifying What Constitutes Partnership Liabilities and How They Affect the Basis of Partnership Assets
Only partnership debt that has an impact on the partnership's inside basis is a liability. All other debt is excluded from consideration.
This item explores the main issues a partnership should consider from a restructuring perspective when considering ESOP ownership transactions.