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is required to make. However, the regulations provide that
if other information is required to determine the item,
then it is not a partnership item. These rules are set
forth in section 301.6231(a)(3)-1(c)(3), Proced. & Admin.
Regs., which provides as follows:
To the extent that a determination of an item
relating to a distribution can be made from these
and similar determinations that the partnership
is required to make, therefore, that item is a
partnership item. To the extent that that
determination requires other information,
however, that item is not a partnership item.
Such other information would include those
factors used in determining the partner's basis
for the partnership interest that are not them-
selves partnership items, such as the amount
that the partner paid to acquire the partnership
interest from a transferor partner if that
transfer was not covered by an election under
section 754.
This brings us back to petitioners’ argument in these
cases. Petitioners seize upon the statement in the above
regulation that an item is not a partnership item to the
extent that a determination of the item requires
informa-tion other than the information necessary to make
a required determination, and they argue as follows:
under the facts and circumstances of these cases,
the �752(b) adjustment--if any such adjustment is
proper at all--must be made at the level of the
individual partner because “the determination
requires other information”, i.e., facts not in
the possession or control of the partnership.
REGS. �301.6231(a)(iii)-1(c)(3), supra. [Sic.]
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