1. In 2014, Declan invested $100,000 as a limited partner in an LP (passive activity). Declans share of the LPs losses for 2014 was $25,000, and Declan had no passive income for 2014. Declans share of the LPs losses for 2015 was $5,000, and Declan had no passive income for 2015. On January 1, 2016, Declan sold his LP interest. Declans only other income for 2016 was salary of $50,000 per year. What amount of passive activity losses from the LP can Declan deduct in 2016?

2. Jay acquired an LP interest (passive activity) in 2015 for $20,000. Jays share of the partnerships deductible losses for 2015 was $25,000, and Jay had no passive activity income in 2015. Jay share of the partnerships income for 2016 was $35,000, and Jay had no other passive activity income in 2016. What amount can Jay deduct in 2016?