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The tax-law library

Find the rule. Read the source.

A curated route into the Internal Revenue Code, Treasury regulations, and federal and California guidance. These links open the original publishers.

Code links open Cornell LII. Regulation links open eCFR. Verify the applicable version and effective dates.

49 source references
IRC § 61Code

What counts as gross income?

The starting point for identifying income before exclusions, deductions and other adjustments.

Federal statute · Cornell LII mirror
IRC § 62Code

From gross income to adjusted gross income

Locate the deductions used to arrive at AGI; distinguish them from deductions taken later.

Federal statute · Cornell LII mirror
IRC § 63Code

From AGI to taxable income

The statutory framework for taxable income, itemized deductions and the standard deduction.

Federal statute · Cornell LII mirror
IRC § 162Code

Trade or business expenses

Study ordinary and necessary business expenses alongside capitalization and other limiting provisions.

Federal statute · Cornell LII mirror
IRC § 199ACode

Qualified business income deduction

The QBI deduction has its own definitions, thresholds and limitations; gross business receipts are not QBI.

Federal statute · Cornell LII mirror
IRC § 465Code

The at-risk limitation

A separate potential restriction on losses; a positive tax basis does not settle the at-risk question.

Federal statute · Cornell LII mirror
IRC § 469Code

Passive activity loss limits

Analyze activity classification and participation separately from basis and at-risk limits.

Federal statute · Cornell LII mirror
IRC § 701Code

Who pays tax on partnership income?

The central pass-through rule: the partners, rather than the partnership, generally bear the income tax.

Federal statute · Cornell LII mirror
IRC § 702Code

Separate items keep their character

Certain items pass through separately so the partner can apply the rules appropriate to that item.

Federal statute · Cornell LII mirror
IRC § 704Code

Allocations and the basis loss limit

Connect the partnership agreement, substantial economic effect and the outside-basis limit on losses.

Federal statute · Cornell LII mirror
IRC § 705Code

The outside-basis rollforward

Track adjustments to the partner’s tax basis for income, distributions, losses and specified expenditures.

Federal statute · Cornell LII mirror
IRC § 706Code

Partnership tax years and timing

Follow the rules that connect the partnership’s year, the partner’s year and changes in ownership.

Federal statute · Cornell LII mirror
IRC § 707Code

Partner transactions and guaranteed payments

Distinguish distributive shares, guaranteed payments and transactions outside the partner capacity.

Federal statute · Cornell LII mirror
IRC § 721Code

Contributions and nonrecognition

Begin the analysis of a property contribution, then test for exceptions and related transaction rules.

Federal statute · Cornell LII mirror
IRC § 722Code

Initial outside basis on contribution

The partner’s starting basis generally follows contributed cash and adjusted tax basis, subject to other rules.

Federal statute · Cornell LII mirror
IRC § 723Code

The partnership’s basis in contributed property

Inside basis belongs to the partnership’s assets; it is distinct from a partner’s outside basis.

Federal statute · Cornell LII mirror
IRC § 731Code

When a distribution triggers gain or loss

Cash, marketable securities and special distribution rules can make an otherwise simple withdrawal complex.

Federal statute · Cornell LII mirror
IRC § 732Code

Basis of property received in a distribution

Current and liquidating distributions can produce different bases in the property received.

Federal statute · Cornell LII mirror
IRC § 733Code

Outside basis after a distribution

Connect the amount and basis of distributed property to the reduction in the partner’s outside basis.

Federal statute · Cornell LII mirror
IRC § 741Code

Sale of a partnership interest

Start with the general sale rule, then check § 751 for ordinary-income components.

Federal statute · Cornell LII mirror
IRC § 751Code

Unrealized receivables and inventory

The hot-asset rules can change character on a sale or on certain disproportionate distributions.

Federal statute · Cornell LII mirror
IRC § 752Code

Partnership liabilities and deemed cash

Changes in a partner’s share of liabilities can create deemed contributions or distributions.

Federal statute · Cornell LII mirror
IRC § 754Code

The election linking transfers and inside-basis adjustments

Research the election together with §§ 734 and 743; an election is not the adjustment calculation itself.

Federal statute · Cornell LII mirror
Treas. Reg. § 1.704-1Regulation

Allocations and capital accounts

Read the detailed allocation rules and capital-account framework alongside § 704.

Treasury regulation · eCFR
Treas. Reg. § 1.704-3Regulation

Contributed property and built-in gain

Explore the methods used to account for differences between book value and tax basis.

Treasury regulation · eCFR
Treas. Reg. § 1.707-1Regulation

Transactions and guaranteed payments

The regulation supplies detail and examples for several categories of partner payments.

Treasury regulation · eCFR
Treas. Reg. § 1.731-1Regulation

Distribution recognition rules

Read the regulatory examples and cross-references before treating a distribution as tax-free.

Treasury regulation · eCFR
Treas. Reg. § 1.752-1Regulation

Classifying partnership liabilities

Definitions of recourse and nonrecourse liabilities lead to different allocation rules.

Treasury regulation · eCFR
Treas. Reg. § 301.7701-3Regulation

Entity classification and elections

The check-the-box regulation addresses default classification and elective changes for eligible entities.

Treasury regulation · eCFR
IRS publicationIRS publication

Publication 541: Partnerships

A readable orientation to partnership tax concepts. Use the Code and regulations to support a legal conclusion.

IRS · explanatory publication
InstructionsInstructions

Partner’s instructions for Schedule K-1

Interpret K-1 boxes and codes, with cross-references to partner-level reporting and limitations. Check the year shown.

IRS · form instructions
InstructionsInstructions

Instructions for Form 1065

Partnership return filing and reporting instructions. The form revision and tax year matter.

IRS · form instructions
IRS publicationIRS publication

Publication 505: Withholding and estimated tax

Explore withholding, estimated-payment methods and the assumptions behind underpayment calculations.

IRS · explanatory publication
Agency guideAgency guide

Estimated taxes: federal overview

Start here for individual and business estimated-payment concepts, then use the year-specific form instructions.

IRS · administrative information
Agency guideAgency guide

Understand an IRS notice or letter

Find the CP or LTR number, identify the tax period and preserve any response deadline.

IRS · administrative information
Agency guideAgency guide

Administrative penalty relief

Check the current relief program, qualifying penalties, compliance history and affected tax periods.

IRS · administrative information
Agency guideAgency guide

Business structures

Compare the broad federal tax categories before studying a specific entity or election.

IRS · explanatory guide
Agency guideAgency guide

Tax years and annual accounting periods

Distinguish calendar, fiscal and short tax years before selecting a form or applying a threshold.

IRS · explanatory guide
Source collectionSource collection

Prior-year forms and instructions

Use the forms and instructions for the year being researched, rather than relying on the current page alone.

IRS · official forms archive
Agency guideAgency guide

California LLC tax and fee framework

Study the annual tax and the separate income-based LLC fee, along with exceptions and filing duties.

California FTB · administrative information
Agency guideAgency guide

California conformity to federal law

A federal tax change does not automatically determine the California result. Review the state’s specific treatment.

California FTB · conformity resources
Agency guideAgency guide

California residency: starting point

Residency and income sourcing are separate factual questions. Follow the linked residency guidance for detail.

California FTB · administrative information
Agency guideAgency guide

California estimated tax payments

California installment percentages and safe-harbor limits differ from the federal rules.

California FTB · administrative information
Source collectionSource collection

California forms and publications

Find the appropriate tax year, return, instructions and supplemental state guidance.

California FTB · official forms collection
Research guideResearch guide

Code, regulations and official guidance

A federal source map connecting the statute, Treasury regulations and published administrative guidance.

IRS · source navigation
Research guideResearch guide

Understanding IRS guidance

Learn what revenue rulings, revenue procedures, notices and other guidance are intended to do.

IRS · explanatory guide
Source collectionSource collection

Internal Revenue Bulletins

Browse the IRS publication used to announce official rulings, procedures and Treasury Decisions.

IRS · published guidance
Research guideResearch guide

Authority and reliance: IRB guidance and FAQs

Understand why an IRS web explanation and a published ruling have different roles in research.

IRS · guidance on reliance
Source collectionSource collection

Official U.S. Code: Title 26

Cross-check the Internal Revenue Code in the government’s current preliminary edition and inspect source notes.

Office of the Law Revision Counsel · U.S. House
Cornell LII links display statutory text in an independent mirror. eCFR links open Treasury regulations on the federal government’s continuously updated, unofficial electronic edition. IRS and FTB guides are labeled separately from legal authorities. This directory does not mirror or automatically synchronize the full law.

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