I'm using Wiley Book/Test bank and Ninja Notes studying for REG to take in April 2013.
When a partnership assumes a liability from a partner (ex. mortgage), sometimes the answer says the partner's basis is reduced by the full liability assumed to get to the partner's basis and sometimes it will reflect (for example) an 80% x liability reduction to get to the partners basis (for example when a partner has 20% interest, the 80% assumed by other partners reduces that partners basis).
Does anyone know or can you direct me where to find when the liability assumed by the partnership from a partner creates a 100% versus a lesser amount of reduction in the partner basis?