Would you like your government to help grow your rental property profits?
Sure! And that’s what happens when you can deduct your rental property losses against your other income.
What can stop those beneficial tax-loss deductions? Answer: Tax law’s passive-loss rules that can destroy your tax subsidy and defer your rental loss deductions to future years.
Example. You have $50,000 in rental property losses this year, but you fail the passive-loss rules; therefore, your current-year deduction for the losses is zero. That’s ugly, isn’t it! Sadly, it’s also true.
If you own rental properties and want to deduct rental losses, you absolutely, positively must have a handle on the passive-loss rules.
This article will help you understand and plan your rental property activities for tax deductions by giving you insights from the Miller case.
Who Are the Millers?
Tom and Nancy Miller claimed losses ... Log in to view full article.