Accounting by Partnerships (Portfolio 5209)
This Portfolio explains the accounting for all phases in the typical life cycle of a non-public partnership entity and discusses incorporation and consolidation of partnerships.
Bloomberg Tax Portfolio 5209, Accounting by Partnerships (Accounting Policy and Practice Series), explains the accounting for all phases in the typical life cycle of a non-public partnership entity and briefly discusses other significant events, including the incorporation and consolidation of partnerships. Although existing Generally Accepted Accounting Principles (GAAP) apply only to partnerships that are publicly traded and registered investment partnerships, many partnerships, both general and limited, choose to maintain records and accounts in accordance with GAAP. This Portfolio focuses on those partnerships that are not publicly traded but do maintain accounts in accordance with GAAP. Publicly traded partnerships employing GAAP may find this Portfolio’s explanations and analysis useful. However, this Portfolio does not comprehensively explore GAAP with which publicly traded partnerships must comply.
There are no definitive accounting pronouncements specifically related to accounting by partnerships. Accounting by non-public partnerships that choose to apply GAAP is centered upon the maintenance of capital accounts. This Portfolio provides detailed examples and comments relating to the effect of partnership transactions on partners’ capital accounts. The accounting for partnership formation, operations, distributions, changes in partnership, and liquidation are covered in detail. Incorporation of a partnership is also briefly discussed.
This Portfolio may be cited as Bloomberg Tax Portfolio 5209, Pandit and Rubenfield, Accounting by Partnerships (Accounting Policy and Practice Series).
Table of Contents
I. Overview and Scope of Portfolio
II. Routine Partnership Transactions
III. Admission of a New Partner
IV. Withdrawal of an Existing Partner
V. Liquidation of a Partnership
VI. Incorporation of a Partnership
VII. Consolidation of Partnerships