figuring loss and carryover marked what needs answers show work with my figures 405545
In the current year Alice reports $150,000 of salary income $20,000 of income from activity X $35,000 and $15,000 losses from activities Y and Z, respectively. All three activities are passive with respect to Alice and are purchased during the current year. ?a. What is the amount of loss that may be deducted with respect to each of these activities? ?b. Compute the amount of loss that must be carried over for each activity. I need to have details. Activity X $20,000 Activity Y (35,000) assuming this is correct Activity Z (15,000) assuming this is correct Net passive loss carryover $(30,000) $35,000 Activity Y: ? = loss carryover ? 35,000 deductible loss $50,000 ? Activity Z: 30,000 = loss carryover ? $15,000 deductible loss $50,000 The amount that may be deducted related to Activity Y is $14,000 The amount that may be deducted related to Activity Z is $? These losses, $? related to Activity Y and $9,000 related to Activity Z, carry over to subsequent years and may be used to offset any income from passive activities. Additionally, any remaining loss attributable to an activity that is disposed of may be deducted in the year of disposal. This is why it is important to allocate the portion of the total net passive loss carryover to each individual activity.
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