Partnerships are complicated structures regardless of size:
- There are limited facts to provide much guidance
- It may be in your best interest to get some professional advice in winding up partnership A
- Your situation is discussed in revenue ruling 99-6
- As noted, there will be a final 1065 required, liquidating distributions, you may have bifurcated holding periods on assets, possible recapture for the former partner, form 1099-DIV reporting for the liquidating distributions,etc.
- I would recommend you review the above revenue ruling and circle back with additional facts and questions.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
