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Level 2
May 17, 2021
Question

Partnership- Guaranteed payments

  • May 17, 2021
  • 2 replies
  • 21 views

2020 Partnership has about a 1.2 million profit- five partners all with different ownership percentages- The GP has 75% & its all a handshake deal-- and about 1 milion was distributed to the 5 partners in 2020-- can I arbitrarily say that some of these distributions were guaranteed payments-- theree is no partnership agreement.

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2 replies

May 17, 2021

No, you can't arbitrarily say that.

And why didn't you address that with the Partners a year-and-a-half ago?

https://proconnect.intuit.com/community/proseries-tax-discussions/discussion/if-a-partnership-that-has-no-agreement-amp-literally-pays-out-to/00/19895

 

Level 2
May 17, 2021

New client- got stuff in Feb 2021- first contact