sumluck
Level 2

Thank you for your reply.  I am trying to think through this for the past couple of days, and I am still not quite sure I understand all the impacts.  1) The partnership is pretty simple that there's no debt basis.  So isn't the tax basis the same as capital on K-1 Item L?  2) If we reduce the existing partner's capital as Other decrease, doesn't that reduce the existing partner's tax-method capital/basis?  

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