If a partnership sells a depreciable asset and, as a result of the disposition, recapture is recorded, this will be included in the net business income that is allocated to the partners.

Question

Quizplus · Accepted Answer

When a depreciable asset is sold and recapture is recorded, it is considered ordinary income and is included in the net business income that is allocated to the partners.

If a Partnership Sells a Depreciable Asset And, as a Result