Partnership Basics Jeopardy!

Partnership Basics

100

The form that parnterships file to report their income and deductions

Form 1065

200

True or false: Partnerships pay income tax at the entity level

False, partnerships are pass through entities

300

The document that shows each partner's share of income, deductions, and credits

Schedule K-1

Form 1065 Components

100

The schedule on Form 1065 that reports the partnership's income, deductions, and credits that are allocated to partners

Schedule K

200

The part of Form 1065 that reports the partnership's balance sheet

Schedule L

300

Form 1065 (if not extended) must be filed by this due date for calendar year partnerships

March 15

Entity Tax Basics

100

Corporations use this IRS form to file their income tax returns

Form 1120

200

C Corporations pay this on their taxable income, unlike partnerships

Corporate Income Tax

300

Individual taxpayers file their annual income tax returns using this form

Form 1040

Partnership Terms and Concepts

100

This type of partner takes part in managing the partnership and bears unlimited liability

General Partner

200

Each partner's personal investment and share of income and losses is tracked in this account

Capital Account

300

This type of partner's liability is limited to the amount they have invested in the partnership

Limited partner

Partnership Income & Loss

100

Profits and losses are usually divided among partners based on this written agreement

Partnership Agreement

200

If a partner contributes property to the partnership their initial capital account generally equals this

Property's fair market value

300

This type of income allocation reflects the partners' agreed-upon proportions, which may differ from ownership percentages

Special Allocation