A taxpayer has the following income (losses)for the current year:
$\begin{array}{ccc}
\underline {\text { Active Income } }&\underline {\text { Portfolio Income } }&\underline {\text { Passive Income } } \
\$ 98,000& \$ 22,000&\$(30,000)
\end{array}$

What is the taxable income (loss)of the taxpayer if:
a.The taxpayer is a publicly held corporation?
b.The taxpayer is a closely held corporation?
c.The taxpayer is an individual and the passive income is not from a rental activity?
d.The taxpayer is an individual and the passive income is the result of a rental activity for which the taxpayer qualifies as a real estate professional.
e.The taxpayer is an individual and the passive income is the result of a rental activity for which the taxpayer fails to qualify as a real estate professional but meets the active participation test?

Question

A taxpayer has the following income (losses)for the current year:
 $\begin{array}{ccc}
\underline {\text { Active Income } }&\underline {\text { Portfolio Income } }&\underline {\text { Passive Income } }  \
 \$ 98,000& \$ 22,000&\$(30,000) 
\end{array}$
 
What is the taxable income (loss)of the taxpayer if:
a.The taxpayer is a publicly held corporation?
b.The taxpayer is a closely held corporation?
c.The taxpayer is an individual and the passive income is not from a rental activity?
d.The taxpayer is an individual and the passive income is the result of a rental activity for which the taxpayer qualifies as a real estate professional.
e.The taxpayer is an individual and the passive income is the result of a rental activity for which the taxpayer fails to qualify as a real estate professional but meets the active participation test?

Quizplus · Accepted Answer

The Answer of A taxpayer has the following income (losses)for the current year:
 $\begin{array}{ccc}
\underline {\text { Active Income } }&\underline {\text { Portfolio Income } }&\underline {\text { Passive Income } }  \
 \$ 98,000& \$ 22,000&\$(30,000) 
\end{array}$
 
What is the taxable income (loss)of the taxpayer if:
a.The taxpayer is a publicly held corporation?
b.The taxpayer is a closely held corporation?
c.The taxpayer is an individual and the passive income is not from a rental activity?
d.The taxpayer is an individual and the passive income is the result of a rental activity for which the taxpayer qualifies as a real estate professional.
e.The taxpayer is an individual and the passive income is the result of a rental activity for which the taxpayer fails to qualify as a real estate professional but meets the active participation test?

A Taxpayer Has the Following Income (Losses)for the Current Year