MarilynG1
Expert Alumni

Business & farm

Generally, passive activity losses that exceed the passive activity income are disallowed for the current year. 

 

You can carry forward disallowed passive losses to the next taxable year. A similar rule applies to credits from passive activities. 

 

Did you indicate in TurboTax that you actively participate in your rental activity?

 

Here's more info from IRS Topic No. 424.

 

 

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