HomeMy WebLinkAbout1198consistent manner. For Federal and state income tax purposes,
the Partnership will generally follow those acceptable
accounting procedures that will defer tax to the greatest
extent permissible. Such decisions must be acceptable to the
Partnership's Independent Certified Accountants, and the
FSanaqinq General Partner mav rPlv ~~nn., r_-hp a~~.a~p ^F °•,^~
Partnership accountants as to whether such decisions are in
accordanc;e with generally accepte~ accounting methods.
(e) Federal Income Tax r.lections. The Partnership
shall make elections for Federai income tax purposes as follows:
(i) The Partnership, to the extent permitted by
applicable law and regulations, shall elect, to treat as an
expense for Federal income tax purposes, all amounts incurred
for real estate taxes, interest and other charges during, or
related to, the canstruction of any project which may, in
accordance with applicable law or regulations, be~considered as
expenses. ~
(ii) The Partnership, tio the extent permitted by
applicable law and regulations, may elect, or may use its best
efforts to cause any entities in wt,ich it invests to elect, to
use such methods of maximum accelecated depreciation on each
depreciable unit of assets tor tar, accounting purposes.
{iiij The Partnership shall elect to report sales for
Federal income tax purposes upon receipt of all sales proceeds
and upon conveyance. .
10. Initial Allocation of Expenses Between the Partnersh.ip
and the Managing General Partner. The Partnership shall pay
(i) all expenses incurred in its formation of Limi~ed
PartnPrship Intere~ts; {ii) thc lcga~ and acca~ntin~ ex~enses
incurred on behalf of the Partnership, and (iii) all costs
incurred in connection with communications with the Limited
Partner, and (iv) the Partnership shall reimburse the Managing
General Partners for all costs, past, present and future,
expended on behalf of the Partnership for goods or services for
planning, aesign, acquisition and construction of the project,
including architectural, engineering, legal and accounting fees.
11. Manaqement, Duties, Powers, Restrictions.
(a) General Partner. The Managing General Partner
shall have full discretion in the management of the Partnership
business and shall devote such time to the Partnership as shall
be necessary to conduct the Partnership business in an
efficient manner. The Managing General Partner shall have full
charge of the management, conduct and operation of the
Pa~tnership business in all respect and in all matters and, in
its discretion, shall have the powec on behalf of the
Partnership to:
g~»~ 350 ~b~E 1197
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