Question
Molly Grey (single) acquired a 30 percent limited partnership interest in Beau Geste LLP several years ago for $61,000. At the beginning of year 1,
Molly Grey (single) acquired a 30 percent limited partnership interest in Beau Geste LLP several years ago for $61,000. At the beginning of year 1, Molly has tax basis and an at-risk amount of $32,500. In year 1, Beau Geste incurs a loss of $194,500 and does not make any distributions to the partners.
In year 1, Molly's AGI (excluding any income or loss from Beau Geste) is $67,000. This includes $17,600 of passive income from other passive activities.
In year 2, Beau Geste earns income of $31,400. In addition, Molly contributes an additional $21,830 to Beau Geste during year 2. Molly's AGI in year 2 is $72,100 (excluding any income or loss from Beau Geste). This amount includes $13,720 in income from her other passive investments.
Cumulative total passive suspended losses: ____?___
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