The Second Edition of A Unified Approach updates the First Edition to reflect all of the developments in the last 5 years: Prominently, the pending simplification of Section 751(b) is considered. Recent anti-tax shelter legislation and rulings, and their impact on ordinary business transactions, also are considered. Further, the Second Edition is reorganized to be easier to teach. A new Chapter VII looks at both sides of the sale of a partnership interest. Chapter VI now looks at all aspects of the taxation of contributions of property (at the time of contribution and thereafter under Section 704(c) and related provisions). The discussion of liquidating distributions is simplified. A new section that covers the consequences of transfers of partnership interests by gift and at death has been added.