Transfer from my name to LP - Tax question

[Kevin Rowghani]

I am investigating the option to move a rental property from direct ownership to an existing LP. I am the sole owner of both the property and LP. The property is free and clear and was purchased 10 yrs ago. It has also increased in value by 20%; therefore cost basis has reduced and capital gains exist.

I clearly understand I need to pay transfer tax.

My question is if I make this deed transfer do I have to pay capital gains tax when this transfer is made or years later when I sell?

I am going to assume if I do make this transfer, the property will appear in both my Sch E and LP tax forms in the year this is performed.

How will the Balance Sheet reflect the cost basis? Since purchase or values since transfer?

Any guidance would be greatly appreciated.

Kevin