K1 Ending Capital Account Balance Hello All,
I was part of a partnership for 2012 and 1 month of 2013. The partnership put operations on hold in January 2013, so I moved on to other opportunities. "I transferred by ownership (10%) for $100". Its in quotes because it didnt actually happen, its just what the minutes said that I had to sign. My K1 for 2012 had a ending capital account of 26k. I was told I would get a K1 for 2013 that shows this as 0. My question is this a taxable event? I never contributed cash as capital to this partnership, but I was paid distributions and guaranteed payments for my involvement in 2012. My former partner has been less than helpful in explaining how this works. Any info is much appreciated!
J |