RobertB4444
Expert Alumni

Business & farm

The ownership percentages are set up by an agreement between the partners.  Once you enter the ownership percentages they don't change unless the partners agree to a change.

 

The contributed capital adds to the basis of each partner.  So you would enter each partners contributions separately under their name.  Distributions are the same way.  If you just enter the distributions as a lump sum then the system will separate them based on ownership percentages so you will need to manually adjust each partner's distributions to reflect what was actually received.  Distributions reduce the partner's basis in the partnership, but not their percentage of ownership.

 

@vshah20  

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