Carey, a single taxpayer, purchased a rental house in 2022, which she actively manages. During 2022, Carey had a loss of $14,000 from the rental house. If Carey's adjusted gross income for 2022 is $138,000 before the rental loss, what is the amount of Carey's allowable deduction for the rental activity for 2022? a. $0 b. $3,000 c. $6,000 d. $12,000

Income Tax Fundamentals 2020
38th Edition
ISBN:9780357391129
Author:WHITTENBURG
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Chapter4: Additional Income And The Qualified Business Income Deduction
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Carey, a single taxpayer, purchased a rental house in 2022, which she actively manages. During 2022, Carey had a loss of $14,000 from the rental house. If Carey's adjusted gross income for 2022 is $138,000 before the rental loss, what is the amount of Carey's allowable deduction for the rental activity for 2022? a. $0 b. $3,000 c. $6,000 d. $12,000

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