Bruce is single and has adjusted gross income for the current year of $90,000 before any deduction for passive activity losses. He owns a duplex that he uses as rental property and this year his rental loss was $13,000. Bruce has no income from passive activities. Which of the following statements is true? Group of answer choices If Bruce actively participates in managing the rental property he can deduct the $13,000 loss against his other income. Bruce will not be able to deduct the $13,000 loss against his other income unless he materially participates in managing the property. Since Bruce’s income does not exceed $150,000 he can deduct the loss against his other income regardless of his role in managing the property. In no circumstance will Bruce be able to deduct the loss this year since he does not have any passive income.
Bruce is single and has adjusted gross income for the current year of $90,000 before any deduction for passive activity losses. He owns a duplex that he uses as rental property and this year his rental loss was $13,000. Bruce has no income from passive activities. Which of the following statements is true?
Group of answer choices
If Bruce actively participates in managing the rental property he can deduct the $13,000 loss against his other income.
Bruce will not be able to deduct the $13,000 loss against his other income unless he materially participates in managing the property.
Since Bruce’s income does not exceed $150,000 he can deduct the loss against his other income regardless of his role in managing the property.
In no circumstance will Bruce be able to deduct the loss this year since he does not have any passive income.
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