JustMe Posted August 5, 2020 Posted August 5, 2020 How is a Family Limited Partnership (FLP) considered for controlled group rules? Specifically, when multiple companies are involved and individuals own portions of some of the companies (perhaps constituting a brother-sister controlled group or combined via ASG rules) and then the same individuals own other companies but only through an FLP.
Luke Bailey Posted August 6, 2020 Posted August 6, 2020 An FLP is an LP, which is a P. Generally, there is attribution (i.e., the partners are treated as if they owned the stuff owned by the partnership) to partners owning a 5% or greater interest. 1563(e)(2). This is only a general outline of the applicable legal provisions responding to your general question, JustMe. Luke Bailey Senior Counsel Clark Hill PLC 214-651-4572 (O) | LBailey@clarkhill.com 2600 Dallas Parkway Suite 600 Frisco, TX 75034
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