3 Direct Participation Partnerships Flashcards
1
Q
LP
A
Limited Partner
owener - income or loss on personal tax return
2
Q
LP
Max Loss
A
amt invested
3
Q
General Partner (GP) / Sponsor
A
at least 1% financial int
unlimited liability
4
Q
LP Powers (2)
A
vote on
- suing GP
- dissolving partnership
5
Q
Passive Income
can be offset by
A
passive losses
6
Q
FINRA requirement of GP
A
provide #s to LP
7
Q
Risk per industry
oil | real estate
High
to
Low
A
Oil
- exploratory
- developmental - drill where oil has been found before
- income - existing production
Real Estate
- raw land
- new construction
- existing properties
8
Q
tax credit
A
takes amt off taxes owed
9
Q
tax deduction
A
takes amt off income
(non taxable income)
10
Q
which is better?
tax credit
or
tax deduction
A
credit
11
Q
Govt Assisted Housting
gets
tax credit or deduction?
A
tax credit
12
Q
subscripton agreement
A
investor signs & attests
to net worth & understands risk
13
Q
syndicate / sponsor fee for selling
A
10%
14
Q
specified program
A
partnership assets disclosed
15
Q
blind pool offering
A
assets not disclosed
