George4Tacks
Level 15
10-08-2023
06:43 PM
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Did partner A give the money to partner C?
My guess is yes, so the Partnership is not involved, other than to properly allocate the income for the portion of the year each partner was owner. The extra $16,500 is outside basis to Partner A and would be reconciled on their personal return.
Answers are easy. Questions are hard!