Get your taxes done using TurboTax

You can elect to treat all interests in rental real estate as one activity. Then since you are a REP,  you would be deemed to materially participate in all of them.  This requires filing an election with your timely filed return declaring that you are a qualifying taxpayer (REP) for the year and are making the election pursuant to iRC SEC 469(c)(7)(A). According to the IRS this does not affect whether or not you're a REP. It's only considered for determining  material participation in your rental real estate activities (CCA 201427016). This election is irrevocable unless there is a material change in your facts and circumstances. (for example yo fail to qualify as a REP)

 

View solution in original post