Question

Danielle and Steven wants to incorporate a partnership and start a business. They just learned from the Income Tax II class that a partnership is a flexible way to do a business. They have some money but wants to float an Initial public offering (IPO) and have this large partnership listed on the NASDAQ stock exchange. Please advise them on the following tax issues: a) Basis to them of the partnership interest, holding period. b) Agreements and incorporating the entity. c) Organization and start-up costs and Syndication cost. d) Choice of the taxable year. e) Guaranteed payments to be made to Danielle.

Answer 1

Answer The incorporate a partnership and start a business Yes indeed partneаship a flexible to do business one want lost stock exchange they float company shall be converted in a company list that NASDAG stock exchange as the partneship interest holding Dylan Esther or Simma becomes the promoters the company the ratio their partnership @ Agreements and incorporation enbily Memorandum of Association Articles of Association

underwriting agreements, redouvent documents for ipo (C) The taxable year the start-up costs aggregalad preliminary expenditur and are ascicible i deduction after listing . (& Payments to be made to Tanable year will be the year the Company i listed.