Admission of New Partner - Goodwill Method

Technical topics regarding tax preparation.
#1
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132
Joined:
25-Aug-2014 6:26pm
Location:
Sacramento, CA
Once the goodwill is debited as an asset on the books, and allocated/credited to the old/existing partners, when a new partner is admitted using the Goodwill Method ... is that goodwill amortizable over 15 yrs just like any other section 197 intangible?

Thanks
 

#2
Nilodop  
Posts:
18754
Joined:
21-Apr-2014 9:28am
Location:
Pennsylvania
You can't create amortizable basis out of a bookkeeping entry.

Here's a longer answer. https://www.forbes.com/sites/anthonynit ... 57a83d5a23

There's also this. viewtopic.php?f=8&t=6785&p=65406&hilit=book+up+book+up#p65406
 


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