Section 38 Property Loss Clause Samples

Section 38 Property Loss. Any reduction pursuant to Code Section 50(c)(1) or 50(c)(3) in the tax basis (or cost) of any Section 38 property that has been placed in service by the Partnership shall be allocated among the Partners (as an item in the nature of deduction or loss) in the same proportions as the basis (or cost) of such property is allocated pursuant to Regulations Section 1.46-3(f)(2)(i).