CPA Study Group
I thought the new partners had to control 80% or more for contributions to a partnership to be nontaxable. Since this one doesn't qualify, I thought the basis for the new partner would be the fair value (minus liability taken on by other partners).
You are thinking of a corporation.
No gain or loss shall be recognized to a partnership or to any of its partners in the case of a contribution of property to the partnership in exchange for an interest in the partnership.