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.
a. Based on the above information, complete the following table:
At risk amount | |||
Initial year 1 amount | ? | ||
Allowed loss | ? | ||
End of Year 1 at risk amount | 0 | ||
Contribution for Year 2 | ? | ||
BG Income | ? | ||
Allowed loss | ? | ||
end of year 2 risk amount | ? | ||
Year | Total Loss | At risk allowed | At risk disallowed |
1 | ? | ? | ? |
2 | ? | ? | ? |
Year | At risk allowed | Passive activity loss allowed | Passive activity loss disallowed |
1 | ? | ? | ? |
2 | ? | ? | ? |
At end of year 2 | |||
Cumulative total passive suspended losses ? | |||
Year 2 AGI | |||
AGI before BG | ? | ||
Year 2 passive income from BG | ? | ||
Year 2 allowed passive losses | ? | ||
Year 2 AGI | ? | ||
If any doubt please comment |
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