partnership profits

Can Partners Take Unequal Distributions?

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Can Partners Take Unequal Distributions? Partnerships may make unequal distributions and allocations (as long as the allocations have substantial economic effect under Treas. Do partnership contributions have to be proportionate? Therefore, a partnership in which all partners receive an equal allocation does not require equal cash contributions, although “equal partnership” and “50-50 partnership” are not

Do Partner Contributions Have To Be Equal?

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Do Partner Contributions Have To Be Equal? Do partner contributions have to be equal? Contributions by partners may vary in type and amount — including cash, ideas, and “sweat equity” (a partner’s time on the job). As a result, partner equity does not necessarily involve equal cash contributions from each partner. Do partner distributions have