Samantha invested $75,000 in a passive activity several years ago,and on January 1,2010,her amount at risk was $15,000.Her shares of the income and losses in the activity for the next three years are as follows:
How much can Samantha deduct in 2010 and 2011? What is her taxable income from the activity in 2012? (Consider both the at-risk rules as well as the passive loss rules.)
Definitions:
Aerial Roots
Roots that are not buried in soil but instead hang in the air, found in certain plants, where they absorb moisture from the atmosphere and sometimes aid in attachment.
Soil PH
A measure of the acidity or alkalinity of soil, affecting nutrient availability, microbial activity, and plant growth.
Acidic Soil
Soil with a pH value below 7, characterized by its capacity to mobilize some nutrients while potentially limiting the availability of others, affecting plant growth and soil health.
Pygmy Forest
A unique ecosystem characterized by stunted trees, often found on nutrient-poor, acidic soils.
Q2: In cases of doubt,courts have held that
Q30: Wayne developed heart problems and was unable
Q45: During the year,Walt went from Louisville to
Q60: Golden Corporation is an eligible small business
Q79: Tonya owns an interest in an activity
Q81: Define qualified small business stock under §
Q91: Bonnie owns and actively participates in the
Q95: Wes's at-risk amount in a passive activity
Q127: The amount of a taxpayer's itemized deductions
Q145: Currently,the tax base for the Medicare component