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Modesto California Form 1065-B: What You Should Know

The following are included in Schedule B-1: Form 1065 (Form 1065), Schedule B-1 (Form 1065), or  Schedule B-1-A (Form 1065-A).  Inheritance Tax — The owner of such a partnership will be liable for death, dismemberment (including split-up), of anyone or more partners of the partnership on whose deaths such liability arises. Such liability will be  adjusted by the value of the partnership interests owned by such beneficiaries on the death of such partners, with a credit or reduction in the value of certain partnership interests allowable for the business activities of the partnership. Individuals with certain qualifying joint incomes who do not receive the joint return itemized deductions can claim the exclusion of up to 50/50 of the value of such property by deducting the total exclusion amount from their taxable income at their source.

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