Search Help


Enter one of more keywords to search. Use quotes for “exact phrase.” Note that '*' and '?' wildcards are supported.

When your search results appear, you can refine your search further: Sort for only results in which all search terms appear AND/OR sort by chronological order.

Article Date:
March 2010


Word Count:
1242

 

 

Qualifying for Rental Real Estate’s Tax-Favored $25,000 Allowance


The ability to deduct your rental property losses against your ordinary income creates a government cash contribution, and that contribution increases your rental property profits.

 

This boost in profits is what lawmakers had in mind when they enacted the $25,000 active participation rental property loss allowance as a special favor for rental property owners who qualify.

 

You qualify for the full allowance of up to $25,000 in rental property loss deductions if

 

·

you actively participate in the rental, and

·

your modified adjusted gross income is $100,000 or less.1

 

The $25,000 tax-favored allowance applies to rental real estate.2 It does not apply to other rentals, such as equipment leases.

 

This article

 

1.

contains strategies that help you qualify for and take full advantage of the $25,000 allowance;

2.

shows you strategies that reduce modified ... Log in to view full article.

Log in to view full article
Already a subscriber?
 
Email Address

 
Password

Log In

You'll be able to read the full article and get instant access to the last few issues of the Tax Reduction Letter

Not yet a subscriber?
 
with a money-back guarantee



 

SS