Resignation does not bar TMP designation
Article Abstract:
The court ruled in the 'Monetary II Limited Partnership' case that a partner who has resigned can be still be considered a partnership's tax matters partner (TMP) for the tax year in which the partner held an interest in the partnership. It was established that it is immaterial whether the ex-partner disposed of the interest prior to the start of the audit or whether the IRS acted in 'bad faith.' Sec. 6231(a)(7) defines a TMP as a partnership's representative in transactions with the IRS who informs other partners of these dealings. The TMP is appointed based on the partnership return for the year, on a statement filed by the former TMP with the IRS informing the Service that a new TMP has been appointed, or on a statement filed by the partnership and signed by partners or general partners who own more than half of the partnership's earnings.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1995
User Contributions:
Comment about this article or add new information about this topic:
When do limited partnerships lack corporate features?
Article Abstract:
Limited partnerships are considered partnerships for Federal tax purposes when they fail to demonstrate the corporate characteristics of continuity of life and limited liability. Guidelines for assessing if limited partnerships possess these two features are contained in Revenue Procedure 92-88, IRB 1992-42, 39. A limited partnership does not have the corporate feature of continuity of life if the IRS has deemed in a Revenue Ruling that a state's limited partnership act and the provisions of the Uniform Limited Partnership Act are compatible. A partnership lacks limited liability if it satisfies specified networth requirements on a continuing basis. Conditions for qualifying for a partnership status are given.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1993
User Contributions:
Comment about this article or add new information about this topic:
Lack of attribution causes redemption to be dividend
Article Abstract:
TAM 9211006 involves a case in which the redemption of stock through a distribution made by a corporation to an Employee Stock Ownership Plan (ESOP) is treated as a dividend. The redemption was considered a dividend rather than an exchange or a sale since the lender's warrants were not taken into consideration in determining whether the redemption was disproportionate. As a result, the ESOP's proportionate interest was unchanged.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1992
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Feminization and professionalization: a review of an emerging literature on the development of accounting in the United Kingdom
- Abstracts: Opportunities are available for distributions from plans upon the participant's death. Minimizing taxes on excess retirement distributions and accumulations
- Abstracts: Opportunities are available for distributions from plans upon the participant's death. part 2 Plan distributions due to sale of employer may be eligible for special tax treatment
- Abstracts: Debt financing under asymmetric information. Strategic debt service
- Abstracts: Recession: It's not all bad news. Companies take stories straight to customers with custom publishing. The rise and fall of a market leader: frozen foods in the U.K