Please note that the content of this book primarily consists of articles available from Wikipedia or other free sources online. Pages: 24. Chapters: Partnership taxation in the United States, Limited liability partnership, Limited partnership, Knight & Kerr, General partnership, Limited Liability Partnerships Act 2000, Limited Partnerships in England and Wales, Family Living Partnership, Uniform Partnership Act, Business partner, Equity partner, Moss Adams, Kommanditgesellschaft, Articles of Partnership, Uniform Limited Partnership Act, Associate attorney, Burnham Sterling and Company, LLC., Tokumei kumiai, Dogwood Stable, G mei gaisha, Partner Relationship Management. Excerpt: The rules governing partnership taxation, for purposes of the U.S. Federal income tax, are codified as Subchapter K of Chapter 1 of the U.S. Internal Revenue Code (Title 26 of the United States Code). Partnerships are "flow-through" entities. Flow-through taxation means that the entity does not pay taxes on its income. Instead, the owners of the entity pay tax on their "distributive share" of the entity's taxable income, even if no funds are distributed by the partnership to the owners. Federal tax law permits the owners of the entity to agree how the income of the entity will be allocated among them, but requires that this allocation reflect the economic reality of their business arrangement, as tested under complicated rules. While Subchapter K is a relatively small area of the Internal Revenue Code, it is as comprehensive as any other area of business taxation. The recent emphasis by the Internal Revenue Service (IRS) to stop abusive tax shelters has brought about an onslaught of regulation. Most abusive shelters utilize partnerships in some form. Aggregate and Entity Concept The Federal income taxation of partners and partnerships is set forth under Subchapter K covering Sections 701- 777 of the Code. Subchapter K represents a blending of the Aggregate and Entity concepts. Aggregate ...