Questions by ggorczany - Page 28
Leon sells his interest in a passive activity for $100,000. Determine the tax effect of the sale based on each of the following independer facts: If an amount is zero, enter " 0 ". a. Adjusted basis in this investment is $35,000. Losses from prior years that were not deductible due to the passive activity loss restrictions total $40,000. The is 1 The suspended losses at the end of the year are b. Adjusted basis in this investment is $75,000. Losses from prior years that were not deductible due to the passive activity loss restrictions total $40,000 The 15 3 The suspended losses at the end of the vear are 3 C. Adjusted basis in this investment is $75,000. Losses from prior years that were not deductible due to the passive activity loss restrictions total $40,000. In addition, suspended credits total $10,000. The, is $ The suspended losses at the end of the year are & The suspended credits at the end of the year are