sb21
New Member

I have transferred capital out of a partnership into a new LLC. It asked if I dispersed or sold any of the capital for that k-1. How do I answer that question?

There was no sale or closing of the partnership, I just transferred my % of capital into a new LLC which now holds it.  I got a k-1 from both, the first stating the beginning capital and ending capital now zero.  The second one (LLC) stating the beginning capital zero and the ending capital the beginning capital of the original one.