Partnership Operating Agreements: Amendments Needed in 2018
Articles by: Richey May, May 22, 2018
All businesses operating as partnerships for federal income tax purposes need to amend their operating/partnership agreements in 2018 to address new IRS audit procedures that significantly change how partnerships are audited and additional tax assessments are made. Whether or not you operate a business as a partnership or simply invest in partnerships, these new rules may require current partners in a partnership to pay any additional taxes, interest and penalties attributable to an IRS examination of a prior year in which they were not a partner in the partnership. Provisions may be added to partnership agreements to address some of the financial inequities of these new rules.
To learn more about the new procedures and how they are relevant to your partnership, download the following PDF:
The Richey May tax team is available to consult with you and your legal team in addressing the new audit rules in amended operating agreements. Please reach out to us at firstname.lastname@example.org with any questions you may have regarding these changes.