During the year,Patricia realized $10,000 of taxable income from activity A,$4,000 loss from activity B,and $6,000 of taxable income from activity C.All three activities are passive activities with regard to Patricia,but are not rental properties. In addition,$32,000 of passive losses from activity C is carried over from prior years.During the current year,Patricia sells activity C for an $18,000 taxable gain.Patricia's salary for the year is $100,000.What is the amount of Patricia's deduction against salary income?

Question

Quizplus · Accepted Answer

The Answer of During the year,Patricia realized $10,000 of taxable income from activity A,$4,000 loss from activity B,and $6,000 of taxable income from activity C.All three activities are passive activities with regard to Patricia,but are not rental properties. In addition,$32,000 of passive losses from activity C is carried over from prior years.During the current year,Patricia sells activity C for an $18,000 taxable gain.Patricia's salary for the year is $100,000.What is the amount of Patricia's deduction against salary income?

During the Year,Patricia Realized $10,000 of Taxable Income from Activity