In the current year, Frank (who is not a real estate professional) invested $25,000 for a 1/4 interest in a real estate rental partnership where he was a general partner and a material participant. Frank’s AGI was $125,000 and his allocated loss from the real estate activity was $30,000. Frank has no passive income this year. 

What is Frank’s deductible loss on his federal tax return from the above transaction for the current year?

Answer rating: 100% (QA)

To determine Franks deductible loss on his federal tax return from the real estate rental partnershi... View the full answer