Ordinary loss on disposition of partnership interest

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TAXTREATMENTOFLOSSESFROM!AN!ABANDONMENTOR ... - Martindale-Hubbell ... capital.!!!!!. An overview of the deductibility of suspended losses from the disposition of an interest in a pass-through entity — a partnership, limited liability company, or an S corporation — that were incurred because of limitations in tax basis, at-risk investment, or passive income. ... Suspended Ordinary Loss: $6,000: Stock Sale: $7,000: Pro rata. The amount of income so recognized is reflected as an increase in the partner's adjusted basis in his partnership interest. Distributions. A partnership's distribution of cash to.
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