Ned Has Active Modified Adjusted Gross Income Before Passive Losses

question 56

Multiple Choice

Ned has active modified adjusted gross income before passive losses of $160,000. He has a loss of $15,000 on rental property he actively manages. How much of the loss is he allowed to deduct against his other income?

• A)None
• B)$10,000
• C)$15,000
• D)$5,000

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Definitions:

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