Is this a taxable event? - Posted by George

Posted by William Bronchick on March 31, 2000 at 11:52:26:

Under the uniform partnership act, property of the partnership can be held in the name of any partner. Thus, so long as you have a written partnership agreement that spells out what you really are doing (as opposed to how it looks), you should not have a problem. A refinance is not a taxable event by itself, but the property was not originally owned by the partnerhsip, it would be a gain to him. If you intended and could show that the property was contributed to the partnership and the deed transfer was a formality for the purposes of a refi, then it would not be.

You need a creative accountant!

Is this a taxable event? - Posted by George

Posted by George on March 30, 2000 at 18:20:04:

I bought a rental property from my partner to take some cash out to buy the next unit. The title was is his name now it’s in mine. We report the income from the piece on our partnership return and it is considered owned by the partnership. Does he owe taxes on the gain? Can we somehow show the gain on the partnership return?

How about a refinance within the partnership? Is that a taxable event?

Thanks