Shey is single and operates two businesses. This year, business A generated $300,000 of taxable profit. Business B generated a $(625,000) loss. How much of Shey's business loss is not currently deductible due to the excess business loss limitation?

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Shey's net business loss is $(325,000). Because he is single, $(250,000) of this loss is deductible and the $(75,000) excess is not currently deductible.

Shey Is Single and Operates Two Businesses