Margaret, a married taxpayer filing a joint return, engaged in two business activities this year. Business A earned $470,000 of profit. Business B incurred a loss of $(995,000). How much of Margaret's net business loss is not currently deductible?

The answer is NOT 12,500 or 25,000. I am unsure how to solve this because I know the max. deduction for MFJ is 500,000 and since the net loss is (525,000) i would think 25,000 is not deductible (and since that was wrong I tried 12,500 to see if it made a difference to only account half the non-deduction for one person).