Odette owns a beach home that she converted to rental use last year. A company manages the

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Odette owns a beach home that she converted to rental use last year. A company manages the property, and rentals are primarily on weekends. Since the average period of customer use is seven days or less, this is not a rental activity. As a result, Odette cannot use up to $25,000 of losses annually with the special active participation rule. What might Odette do next year to be able to apply this rule given that her income is below the threshold for this special loss provision?

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South Western Federal Taxation 2023 Comprehensive Volume

ISBN: 9780357719688

46th Edition

Authors: Annette Nellen, Andrew D. Cuccia, Mark Persellin, James C. Young

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