Entity information:
(
9
) FEDERAL INCOME TAX INFORMATION (UNAUDITED)
A reconciliation of net
income for financial reporting purposes to net income (loss) for Federal income tax reporting purposes is as follows:
 
   
For the Years Ended December 31,
 
   
2017
   
2016
   
2015
 
                         
Net income for financial reporting purposes
  $
11,852,468
    $
10,233,277
    $
17,437,154
 
                         
Adjustment to net loss on sale of investment in real estate property to reflect differences between tax and financial reporting bases of assets and liabilities
   
-
     
-
     
749,124
 
                         
Difference between tax and financial statement equity in net income/ loss of investment
   
(12,538,521
)    
(8,999,145
)    
(14,750,473
)
                         
Difference between accrued investment management fees, mortgage interest and partnership administrative expenses recognized for tax purposes
   
502,085
     
481,619
     
(619,789
)
                         
Difference between tax and financial statement depreciation
   
7,788
     
7,424
     
(230,508
)
                         
Net income (loss) for Federal income tax reporting purposes
  $
(176,180
)   $
1,723,175
    $
2,585,508
 
                         
Net ordinary income (loss) for Federal income tax reporting purposes
  $
1,681,612
    $
1,723,175
    $
(1,043,005
)
Net capital (Sec. 1231) gain (loss) for Federal income tax reporting purposes
   
(1,857,792
)    
-
     
3,628,513
 
                         
    $
(176,180
)   $
1,723,175
    $
2,585,508
 
                         
Weighted average number of units of limited partnership
interest outstanding
   
7,753
     
7,753
     
7,753
 
 
As of Decem
ber
31,
2017
and
2016,
the tax bases of the Partnership's assets and liabilities were approximately
$43,029,724
and
$30,604,120
of assets, and
$9,267,740
and
$8,739,701
of liabilities, respectively.