Form 1065

A partnership tax return is known as Form 1065. It is a calendar year tax return and income is allocated to the partners via Form K-1. This is considered an information return whereby business revenues and expenses and any special items are reported to the IRS.

Aggregate and Entity Theories of Partnership

Aggregate and Entity Theories of Partnership

A partnership is defined as an association of two or more persons to carry on as co-owners a business for profit.  The premise is built around the notion that the combined power of the partners exceeds the sum of the value the partners could generate independently.

What is a K-1?

A K-1 is a reporting tool to the Internal Revenue Service.  It is used by Partnerships, S-Corporations and Trusts to report the taxpayer’s share of income, deductions, and credits.  A K-1 is similar to Form W-2 or 1099 in that the information provided informs the taxpayer of what has been reported to the Internal Revenue Service.

The Basic Principles of a Partnership

A partnership is a form of a business entity that provides many more advantages than any other form of business entity.  There are several basic principles of a partnership that once understood, the reader can use to his advantage in the small business world.  Below are descriptions and an explanations of the basic principles of a partnership and the corresponding legal impact.

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