20 CSR 1140-2.081 - Legal Loan Limit-Limited Partnerships

PURPOSE: This rule removes the confusion surrounding the legal loan limit as it relates to limited partnerships and certain joint ventures, eliminates any lingering effects of earlier interpretations (rulings number 19 and 37), and states this division's policy toward this subject.

(1) While loans to general partnerships shall be considered, for legal loan limit purposes, loans to each member of the partnership, this rule does not apply to limited partners in limited partnerships unless limited partners act as general partners by undertaking duties or responsibilities associated with running the business.

(2) This rule shall not be construed to limit attribution which would be set forth by application of 20 CSR 1140-2.080 Legal Loan Limit.

(3) A corporation or other entity serving as a general partner in any limited or general partnership shall be attributed any loan made to or for the benefit of the partnership.

Notes

20 CSR 1140-2.081

AUTHORITY: sections 361.105 and 362.170, RSMo 2016.* This rule originally filed as 4 CSR 140-2.081. Original rule filed June 12, 1984, effective Nov. 15, 1984. Moved to 20 CSR 1140-2.081, effective Aug. 28, 2006. Amended: Filed March 30, 2021, effective Sept. 30, 2021.

AUTHORITY: sections 361.105, RSMo 1986 and 362.170, RSMo Supp. 1989.* This rule originally filed as 4 CSR 140-2.081. Original rule filed June 12, 1984, effective Nov. 15, 1984. Moved to 20 CSR 1140-2.081, effective Aug. 28, 2006. Amended by Missouri Register August 16, 2021/Volume 46, Number 16, effective 9/30/2021