Required information Problem 20-76 (LO 20-6) (Algo) [The following information applies to the questions displayed below.) Farell is a member of Sierra Vista LLC. Although Sierra Vista is involved in a number of different business ventures, it is not currently involved in real estate either as an investor or as a developer. On January 1, year 1, Farell has a $101,000 tax basis in his LLC interest that includes his $88,000 share of Sierra Vista's general liabilities. By the end of the year, Farell's share of Sierra Vista's general liabilities have increased to $101,000. Because of the time he spends in other endeavors, Farell does not materially participate in Sierra Vista. His share of the Sierra Vista losses for year 1 is $131,000. As a partner in the Riverwoods Partnership, he also has year 1, Schedule K-1 passive income of $9,000. Farell is single and has no other sources of business income or loss. (Leave no answer blank. Enter zero if applicable.) Problem 20-76 Part b (Algo) Assume Farell's Riverwoods K-1 indicates passive income of $31,000. b-1. Determine how much of the Sierra Vista loss he will ultimately be able to deduct on his tax return for year 1. b-2. List the losses suspended due to tax-basis, at-risk, and passive activity loss limitations. b-1. Deductible loss b-2. Losses suspended by tax basis limitation b-2.Losses suspended by at-risk limitation b-2 Losses suspended by passive activity loss limitation < Prev 24 25 26 27 of 27 Next >