| What are the tax rules that govern a Partnerships tax year?
The IRS has made it clear, that "A partnership must conform its tax year to its partners' tax years unless any of the following apply.
1. The partnership makes a section 444 election.
2. The partnership elects to use a 52-53-week tax year that ends with reference to either its required tax year or a tax year elected under section 444.
3. The partnership can establish a business purpose for a different tax year.
The IRS tax code has laid down the rules for the required tax year for partnerships as follows;
1. If one or more partners having the same tax year own a majority interest (more than 50%) in partnership profits and capital, the partnership must use the tax year of those partners.
2. If there is no majority interest tax year, the partnership must use the tax year of all its principal partners. A principal partner is one who has a 5% or more interest in the profits or capital of the partnership.
3. If there is no majority interest tax year and the principal partners do not have the same tax year, the partnership generally must use a tax year that results in the least aggregate deferral of income to the partners. | 
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