jim keck Posted February 13, 2017 Report Posted February 13, 2017 have a partnership that had a cost segregation study done several years ago. last year one of the partners died and the partner made the 754 election and the estate received a stepped up basis in the assets. this year one of the buildings had the roof replaced. the only partner that had any basis in the roof was the estate does it report the loss on the disposition of the roof? Quote
Terry D EA Posted February 13, 2017 Report Posted February 13, 2017 Your post is a bit confusing. Well. at least to me anyway. Here is a link explaining the 754 election. I would guess that an estate can have an interest in a partnership but the estate must distribute that interest. See the two articles below and see if they help at all. This is very complex. Need more information to try to help with your question. https://www.taxact.com/support/22445/2016/section-754-election-1065-only https://www.aicpastore.com/Content/media/PRODUCER_CONTENT/Newsletters/Articles_2008/CorpTax/Trusts.jsp Quote
DANRVAN Posted February 14, 2017 Report Posted February 14, 2017 Yes, sounds straight forward to me, assuming the roof replacement resulted in a loss. It should flow through the K-1 to the estate along with additional depreciation from 743(b) adjustment. Quote
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