How much of the distribution will enercio be taxed

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Question 1: Enercio contributes $100,000 in exchange for a 40% interest in the calendar year ABC LLC, which is taxed as a partnership. This year, the LLC generates $80,000 of ordinary taxable income. Enercio withdrew $10,000 from the partnership during the year. Enercio is taxed on what amount of ABC's income? On how much of the $10,000 distribution will Enercio be taxed?

Reference no: EM132493131

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