30. LO.8 A number of years ago, Lee acquired a 20% interest in the BlueSky Partnership for $60,000. The partnership was profitable through 2020, and Lee’s amount at risk in the partnership interest was $120,000 at the beginning of 2021. BlueSky incurred a loss of $400,000 in 2021 and reported income of $200,000 in 2022.

Assuming that Lee is not a material participant, how much of his loss from BlueSky Partnership is deductible in 2021 and 2022? Consider the at-risk and passive activity loss rules, and assume that Lee owns no other investments.