Unrestricted partnership interest was transferred to Cristy

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Reference no: EM131012043

Bobby and Jake formed the Valley Partnership four years ago. Because they decided the company needed some expertise in database software, they offered Cristy a ? capital and profits interest in the partnership if she would come to work for the partnership.

On July 1 of the current year, the unrestricted partnership interest (fair market value of $75,000) was transferred to Cristy. How should Cristy treat the receipt of the partnership interest in the current year?

Reference no: EM131012043

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