From: Richard Kahn

From: Richard Kahn To: "Jeffrey E." <[email protected]> Subject: Tax return comments Date: Tue, 12 Apr 2016 19:38:44 +0000 DDC1, LLC 1) why is return cash basis for what appears to be art investment yet Friends LLC is accrual basis? 2) insurance expense should be added to basis each year not expensed as amount is not deductible Friends Ventures LLC I) why is accounting method accrual basis? what were accrued expenses at end of 2014 that were paid in 2015 2) what is intangible asset on balance sheet of 42,426? if proper why is their no amortization expense? 3) schedule B-1 - remove . from Leon D. Black for consistency throughout return 4) Page 1 - Should box be checked that IRS should be able to talk with preparer? The Publishing Trust I) why is it FKA APO-02 Declaration under name when this is the first tax return filed? 2) why is box checked for change in fiduciary name when this is initial return? nothing has been reported to IRS 3) will trust be attached to return and sent to IRS? 4) Page 1 - Should box be checked that IRS should be able to talk with preparer? APO2 Declaration - Form ST-140 1) is name APO2 correct as it is referred to on The Publishing Trust as APO-02 2) page 3 on return - worksheet 3 - although it says see attached 162,779.00 should be on line 1 as line 2 on page 1 of return references this box 3) certification - Thomas Turrin PIN should be typed and not handwritten 4) IT-135 - Column B should have description APO1 Declaration - Form ST-140 1) is name APO I correct as it is referred to as APO-01 on form 1041 2) page 3 on return - worksheet 3 - although it says see attached 3,427.00 should be on line I as line 2 on page I of return references this box 3) certification - Thomas Turrin PIN should be typed and not handwritten 4) IT-135 - Column E number should read 38,608.50 not 38,608.50.00 5) IT-135 - Column B should have description APO-01 Form 1041 1) is name APO-01 correct as it is referred to as APOI on declaration 2) do not know assets or liabilities as no balance sheet is attached however would like to know what 2,357 of loan interest relates to.. 3) Page 1 - Should box be checked that IRS should be able to talk with preparer? APO1 Agreement Form 1041 1) is name APOI correct? 2) Page 1 - Should box be checked that IRS should be able to talk with preparer? Richard Kahn HBRK Associates Inc. EFTA00829556 New %York NY 10022 tel fa ce EFTA00829557