Discussion Post: Partnership & Tax-Exempt Organizations
Suppose that you have a new client who would like to form a partnership. The client has asked you to assist in avoiding transactions that might result in a taxable transaction for the partnership.
1) Recommend at least two transactions that the partnership should avoid in order to prevent a taxable transaction to the partnership. Explain how your answer would differ if the company was an S-corporation rather than a partnership.
2) Provide a rationale for your recommendation.
The response must include a reference list. One-inch margins, double-space, Using Times New Roman 12 pnt font and APA style of writing and citations.