jd-fagan
New Member

Business & farm

He didn't add capital of $50k for that current year, he earned it via the sale of the property, so the gain is $50k as I understand it.  He has no more interest ($0) at end of year since the deal is done and closed (final K1 I presume?).  That doesn't mean he had no gain or loss, it just means he has no more tax basis going forward for future years I believe.