Partners & Partnerships
Holding Period and Basis Considerations of Partnership Conversions
1 It is worth pointing out that immediately after B purchases A’s partnership interest and before the termination, B holds 100% of the interests in AB, of which 50% is his original interest and 50% is the “new” interest acquired from A.
2 Rev. Rul. 99-6, 1999-1 CB 432.
3 McCauslen, 45 TC 588 (1966).
4 Rev. Rul. 67-65,1967-1 CB 168.
5 Rev. Rul. 2001-61, 2001-2 CB 573.
6 Rev. Rul. 99-5, 1999-1 CB 434.
7 Rev. Rul. 2001-61, 2001-2 CB 573.
8 Rev. Rul. 84-111, 1984-2 CB 88.
9 Rev. Rul. 70-239, 1970-1 CB 74.
10 Rev. Rul. 2004-59, 2004-1 CB 1050.
11 Browning Ferris Indus., Inc., and Subs., 99 AFTR 2d 2007-1312 (Fed. Cl. 3/2/07).
12 See, e.g., Gregory v. Helvering, 293 U.S. 465 (1935); Packard, 85 TC 397.
13 Rev. Rul. 83-155, 1983-2 CB 38.
14 Foster, 80 TC 34 (1983), aff’d 756 F2d 1430 (9th Cir. 1985).
15 See, e.g., Emory, 374 FSupp 1051 (D.C. Tenn. 1972), aff’d, 490 F2d 208 (6th Cir. 1974); Foxman, 41 TC 535 (1964), aff’d, 352 F2d 466 (3d Cir. 1965).
16 See, e.g., Foxman, 41 TC 535 (1964); Boland, TC Memo 1972-233, aff’d in unpublished op. (3d Cir. 1974); IRS Letter Ruling 9715008 (4/11/97).
17 See, e.g., Karan, 319 F2d 303 (7th Cir. 1963); IRS Letter Ruling 9715008 (4/11/97).
18 See, e.g., Miller, 181 Ct. Cls. 331 (1967); Cooney, 65 TC 101 (1975); Stilwell, 46 TC 247 (1966).
19 See, e.g., Kelly, TC Memo 1970-250.
20 Foxman, 41 TC 535 (1964).
21 See, e.g., Miller, 181 Ct. Cls. 331 (1967); Zager, TC Memo 1987-107.
22 Sec. 736(a).
23 Regs. Sec. 1.736-1(a)(4).
24 Sec. 702; Regs. Sec. 1.736-1(a)(5).
25 Pratt, 64 TC 203 (1975).
26 Rev. Rul. 81-300, 1981-2 CB 143; Rev. Rul. 81-301, 1981-2 CB 144.
27 Regs. Sec. 1.47-6(a)(2).
28 Id.
29 IRS Letter Ruling 7814026 (1/5/78); IRS Letter Ruling 7939099 (6/28/79).
30 Sec. 751(b).
31 Sec. 751(c).
32 Sec. 751(d).
33 Sec. 751.
34 Regs. Sec. 1.736-1(a)(6).
