Generally, which of the following does not correctly categorize the type of income?
A)Rental real estate-passive income/loss.
B)Salary-active income/loss.
C)Dividends-portfolio income/loss.
D)Capital losses-passive income/loss.
E)All of these choices are correct.

Question

Quizplus · Accepted Answer

Capital losses are not a type of income, but rather a type of expense that can be used to offset capital gains for tax purposes. Therefore, it does not fall under any income category.

Generally, Which of the Following Does Not Correctly Categorize the Type