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Several years ago, Joy acquired a passive activity. Until 2009, the activity was profitable. Joy's at-risk amount at the beginning of 2009 was $250,000. The
Several years ago, Joy acquired a passive activity. Until 2009, the activity was profitable. Joy's at-risk amount at the beginning of 2009 was $250,000. The activity produced losses of $100,000 in 2009, $80,000 in 20X0, and $90,000 in 20X1. During the same period, no passive income was recognized. How much is suspended under the at-risk rules and the passive loss rules at the beginning of 20X2?
a. $0; $270,000
b. | $20,000; $250,000 |
c. | $30,000; $240,000 |
d. $260,000; $10,000 |
e. None of the above |
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