Limitations on the ability of owners


The passive loss limitation rules impose real limitations on the ability of owners of certain types of ventures to take losses from those ventures and use them to reduce other income. That hardly means, however, that people don't try. One such area often involves various oil and gas ventures. Often operated as publicly traded partnerships,

sophisticated investors often purchase limited partnership interests in these ventures. They are, however, subject to a particularlyrestrictive set of passive loss limitation rules. Locate at least three such oil and gas publicly traded partnerships on the web that are marketed to new investors. Describe the benefits that the promoters of each of these partnerships claim will result from the investments and describe the disclaimers, if any, that they provide detailing what limitations may be placed on the losses.

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Accounting Basics: Limitations on the ability of owners
Reference No:- TGS0515205

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