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Question - On January 1, of the current year, Z made a gift of 30% interest in the AAA Partnership to his daughter, D. The partnership's business was auto repair; capital was not a material income-producing factor. D had no interest in working as a mechanic. Z, who retained a 20% interest, and Mr. G, the other partner, performed all the work. A reasonable salary for Z was $60,000 and for G was $20,000, which they received as guaranteed payments. During the tax year, AAA had taxable income of $160,000 before any guaranteed payments. How much income should Z include in his return for the current year?
$60,000
$76,000
$80,000
$100.000
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