1. Lola, single taxpayer, had losses totaling $30,000 from rental real estate in which she actively participated. also had $15,000 of income from another gross income. before passive losses of $70,000 how much to offset portfolio active income?

2. Guy has adjusted gross income for the current year of $130,000 before the deduction for a $2,000 contribution to his ira and before any potential deduction for 40,000 of losses from rental real estate activities in which he actively participates. How much of the rental losses may he deduct if the rental real estate activities were acquired in the current year?

a. 0

b. 10,000

c. 11,000

d. 25,000

3. Lola purchased a limited partnership interest in year 1. She had nondeductible passive losses of $30,000 in year 1 and 20,000 in year 2 from the partnership. if she sells his partnership interest in year 3 for a 10,000 gain, has 15,000 of income from the partneship up to the date of the sale, and has 100,000 of non passive income, how much can she deduct in year 3?

a. 10,000

b. 15,000

c. 25,000

d. 50,000

4. Jake husband person received 80,000 in wages, wife Sabrina had a 40,000 loss from rental real estate activity in which she materially participated. Sabrina worked pull time in the much rental loss can they deduct in joint return?

a. 0

b. 13,500

c. 25,000

d. 40,000

5. Andy married to Nancy, and they lived together all year. file separare returns. Andy had 70,000 in wages, 15,000 of income from a limited partnership, 26000 loss from rental real estate activities in which he activitely participated, and less than 10,000 of modified agi . he can use 15,000 of his 26,000 rental loss to offset his passive income from the partnership and the remaining 11000 to offset his non passive income.

a. true

b. false

6. Jorge materially participated in one rental real estate activity in year 3. 75% of his personal services for the year were performed in this real estate activity, for a total of 1,500 service hours. Jorge has suspended losses originating in year 1 and 2 from the activity. The deduction for these 2 years of suspended losses may offset David's non-passive income for year 3.

a. true

b. false