Hunter has a $60,000 loss from an investment in a partnership in which he does not participate. His basis in the interest is $45,000. a.How much of the loss is disallowed by the at-risk rules? b. How much of the loss is disallowed by the passive loss rules?
Hunter has a $60,000 loss from an investment in a partnership in which he does not participate. His basis in the interest is $45,000. a.How much of the loss is disallowed by the at-risk rules? b. How much of the loss is disallowed by the passive loss rules?
Chapter11: Invest Or Losses
Section: Chapter Questions
Problem 38P
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Question
Hunter has a $60,000 loss from an investment in a partnership in which he does not participate. His basis in the interest is $45,000.
a.How much of the loss is disallowed by the at-risk rules?
b. How much of the loss is disallowed by the passive loss rules?
![Hunter has a $60,000 loss from an investment in a partnership in which he does
not participate. His basis in the interest is $45,000.
Required:
a. How much of the loss is disallowed by the at-risk rules?
b. How much of the loss is disallowed by the passive loss rules?
a
b
Amount](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb90f59d8-262f-4496-a535-831a318afb82%2F6b6fd279-710d-4d61-883c-81f14b93dae0%2F08y4eq6_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Hunter has a $60,000 loss from an investment in a partnership in which he does
not participate. His basis in the interest is $45,000.
Required:
a. How much of the loss is disallowed by the at-risk rules?
b. How much of the loss is disallowed by the passive loss rules?
a
b
Amount
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