LO.5 A partner’s ability to pass through and deduct his or her share of the partnership loss is limited by the partnership interest basis.

a. Does the Code further limit the loss pass-through and deduction with the § 465 atrisk rules? Explain.

b. In this regard, what effect do the § 469 passive activity loss rules have?

c. Which potentially are more restrictive: the § 465 at-risk rules or the § 469 passive activity loss rules?