@AmeliesUncle wrote:
I've seen you say that the $25,000 real estate loss can't create a NOL, but I'm not familiar with that rule.
I've just never experienced the special allowance for active participation being applied where the MAGI was $100,000 or less and that created a scenario where the AGI went negative.
Considering the language I quoted from the IRS publication, it appears as if a loss in that given scenario is not considered to be a passive loss.
