My wife and I elect to be treated as a qualified joint venture. Among the activities in our joint venture is a real estate property with losses. Can these passive losses can be used to offset income in the joint venture? I only ask because ...
this mentions something about real estate -> https://www.thebalancesmb.com/what-is-a-qualified-joint-venture-398426
as does the IRS -> https://www.irs.gov/instructions/i1040se
However at the bottom of the IRS page it states:
Rental real estate income generally is not included in net earnings from self-employment subject to self-employment tax and generally is subject to passive loss limitation rules. Electing qualified joint venture status does not alter the application of the self-employment tax or the passive loss limitation rules.
Thanks!