Question
Molly Grey (single) acquired a 30 percent limited partnership interest in Beau Geste LLP several years ago for $49,000. At the beginning of year 1,
Molly Grey (single) acquired a 30 percent limited partnership interest in Beau Geste LLP several years ago for $49,000. At the beginning of year 1, Molly has tax basis and an at-risk amount of $30,500. In year 1, Beau Geste incurs a loss of $228,000 and does not make any distributions to the partners. In year 1, Molly's AGI (excluding any income or loss from Beau Geste) is $79,400. This includes $12,000 of passive income from other passive activities. In year 2, Beau Geste earns income of $30,500. In addition, Molly contributes an additional $33,850 to Beau Geste during year 2. Molly's AGI in year 2 is $85,100 (excluding any income or loss from Beau Geste). This amount includes $8,760 in income from her other passive investments. Molly Grey (single) acquired a 30 percent limited partnership interest in Beau Geste LLP several years ago for $49,000. At the beginning of year 1, Molly has tax basis and an at-risk amount of $30,500. In year 1, Beau Geste incurs a loss of $228,000 and does not make any distributions to the partners. In year 1, Molly's AGI (excluding any income or loss from Beau Geste) is $79,400. This includes $12,000 of passive income from other passive activities. In year 2, Beau Geste earns income of $30,500. In addition, Molly contributes an additional $33,850 to Beau Geste during year 2. Molly's AGI in year 2 is $85,100 (excluding any income or loss from Beau Geste). This amount includes $8,760 in income from her other passive investments. Molly Grey (single) acquired a 30 percent limited partnership interest in Beau Geste LLP several years ago for $49,000. At the beginning of year 1, Molly has tax basis and an at-risk amount of $30,500. In year 1, Beau Geste incurs a loss of $228,000 and does not make any distributions to the partners. In year 1, Molly's AGI (excluding any income or loss from Beau Geste) is $79,400. This includes $12,000 of passive income from other passive activities. In year 2, Beau Geste earns income of $30,500. In addition, Molly contributes an additional $33,850 to Beau Geste during year 2. Molly's AGI in year 2 is $85,100 (excluding any income or loss from Beau Geste). This amount includes $8,760 in income from her other passive investments. what is her BG income for yr two and yr two at risk amount. Passive losses for year 1 & 2
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