Rex and Scott operate a law practice in partnership form.Since Rex and Scott are brothers,the partnership is subject to the family partnership income reallocation rules.

Question

Quizplus · Accepted Answer

For purposes of § 704(e),a family does not include brothers or sisters.Furthermore,even if Rex and Scott were parent and child,the family partnership provisions still would not apply because the business consists principally of fees for personal services.§ 704(e)(3)

Rex and Scott Operate a Law Practice in Partnership Form