|
Posted by AK47 on March 6, 2007, 5:44 am
Please log in for more thread options
A partnership operates a business,it is not an investment
company. It borrows money at a variable rate which it
converts to a fixed rate by the use of derivatives.
It reports an amount of interest income and an offsetting
amount of investment interest expense (which is subject to
limitations on deduction by the partners).
The variable interest is simply deducted in computing
ordinary taxable income and is not separately stated on the
K-1.
Does this seem right?
<< ======================================================= >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ======================================================= >>
| 
Yahoo! 
Google 
Windows Live 
del.icio.us 
digg 
Netscape 
XML Sitemap