Business
Business, 06.03.2021 01:20, aupein

Sarah has investments in four passive activity partnerships purchased several years ago. Last year the income and losses were as follows: Activity Income (Loss)
A $30,000
B (30,000)
C (15,000)
D (5,000)

In the current year, she sold her interest in Activity D for a $10,000 gain. Activity D, which had been profitable until last year, had a current loss of $1,500. Answer the following questions to determine how the sale of Activity D affects Sarah's taxable income in the current year.

a. The amount of suspended losses carried forward to the year of the sale is: .
b. What amount of the suspended losses is allocated to Activity D?

answer
Answers: 3

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Sarah has investments in four passive activity partnerships purchased several years ago. Last year t...

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