Elsie, single, had an AGI of $134,712 in 2020. All of her income was from wages. Elsie owns 100% of a rental house and actively participated in the real estate rental activity. The rental house generated a loss of $40,549 in 2020. Elsie has over $100,000 at risk. What amount of the $40,549 loss can Elsie deduct in 2020?
Elsie, single, had an AGI of $134,712 in 2020. All of her income was from wages. Elsie owns 100% of a rental house and actively participated in the real estate rental activity. The rental house generated a loss of $40,549 in 2020. Elsie has over $100,000 at risk. What amount of the $40,549 loss can Elsie deduct in 2020?
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter8: Property Transactions: Capital Gains And Losses, Section 1231 And Recapture Provisions
Section: Chapter Questions
Problem 27P
Related questions
Question
Transcribed Image Text:Elsie, single, had an AGI of $134,712 in 2020.
All of her income was from wages. Elsie owns
100% of a rental house and actively
participated in the real estate rental activity.
The rental house generated a loss of $40,549
in 2020. Elsie has over $100,000 at risk. What
amount of the $40,549 loss can Elsie deduct
in 2020?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT