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Calculate the basis limitation by the Partner's Basis Worksheet
The Partner's Basis Worksheet calculates the basis limitation on the deductibility of a partner's share of partnership losses.
A partner's distributive share of partnership loss is allowed to the extent of the partner’s basis in the partnership interest. Losses and deductions not allowed this year because of the basis limit will transfer forward indefinitely and be deducted in a later year subject to that year's basis limit.