[WSBARP] guarantee of commercial loan

[Jim Hoff]

26 CFR 1.752-1 - Treatment of partnership liabilities includes the following
definition for purposes of section 752:

 

(4)(ii)Obligation. For purposes of this paragraph and § 1.752-7, an
obligation is any fixed or contingent obligation to make payment without
regard to whether the obligation is otherwise taken into account for
purposes of the Internal Revenue Code. Obligations include, but are not
limited to, debt obligations, environmental obligations, tort obligations,
contract obligations, pension obligations, obligations under a short sale,
and obligations under derivative financial instruments such as options,
forward contracts, futures contracts, and swaps. 

 

Don’t have an immediate answer to the more general question of what written
records are required by the IRS to establish an obligation, however.

 

James B. Hoff

CoRE Law, PLLC

3030 W. Commodore Way, Suite A-302

Seattle, WA 98199

Telephone: (206) 443-1616

Fax: (206) 443-2626

Mobile: (206) 465-1000

Email:  <mailto:jhoff at corelaw.com> jhoff at corelaw.com

Website:  <http://www.corelaw.com/> www.corelaw.com

 

 

From: wsbarp-bounces at lists.wsbarppt.com
[mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of Roger Hawkes
Sent: Saturday, February 24, 2018 8:09 AM
To: 'WSBA Real Property Listserv'
Subject: Re: [WSBARP] guarantee of commercial loan

 

If I were defending the verbal promisors I would certainly assert that.  and
probably win.  The real question though is as between the verbal indemnity
promisors and the IRS; if they assert their share of basis, what would the
IRS do?

 

Roger Hawkes, WSBA 5173

19909 Ballinger Way NE

Shoreline, WA 98155

www.hawkeslawfirm.com <http://www.hawkeslawfirm.com/> 

206 367 5000 voice

206 367 4005  fax

 

From: Ralph Maimon [mailto:rmaimon at maimonlaw.com] 
Sent: Friday, February 23, 2018 8:02 PM
To: WSBA Real Property Listserv <wsbarp at lists.wsbarppt.com>; 'WSBA Real
Property Listserv' <wsbarp at lists.wsbarppt.com>; 'Business Law Section'
<business-law-section at list.wsba.org>
Subject: Re: [WSBARP] guarantee of commercial loan

 

Doesn’t the statute of frauds apply here, roger? But there are ways to avoid
it. 

 

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  _____  

From: wsbarp-bounces at lists.wsbarppt.com <wsbarp-bounces at lists.wsbarppt.com>
on behalf of Roger Hawkes <Roger at law-hawks.com>
Sent: Thursday, February 22, 2018 5:01:28 PM
To: 'WSBA Real Property Listserv'; 'Business Law Section'
Subject: [WSBARP] guarantee of commercial loan 

 

Clients are a small group who purchase a small building with a bank loan.
Some partners officially guaranteed the loan by signing personal guarantees.
Some partners did not sign any such guarantees but promised the other
partners to pony up their pro rata share if the guarantors ever had to pay.
Do the verbal guarantors get a portion of the basis assigned to them?  Any
cite to code or cfr or revenue ruling would be appreciated.

 

Roger Hawkes, WSBA 5173

19909 Ballinger Way NE

Shoreline, WA 98155

www.hawkeslawfirm.com
<https://urldefense.proofpoint.com/v2/url?u=http-3A__www.hawkeslawfirm.com_&
d=DwMFAg&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=48uCzqbn0A0fuu0Vx7H
iXuyvQSYkBeVAtLY41jGTlHo&m=PNfixGKMJ7dpZL0EJ8K45I8oWF2y0YXRcaSB6yHZT9c&s=ULg
dDszOdSR_DLhfN0wZT5cXPvV_K3bzRwaSsdFeLAI&e=> 

206 367 5000 voice

206 367 4005  fax

 

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