We can't answer your question. You are only allowed to deduct losses to the extent you are at risk or have tax basis, whichever is lower. To start with, your at-risk/basis amount is only $20K. What that other addition of $105K as shown in schedule L is, we don't know. Thus, we don't know if it adds to your at-risk/basis. It may merely be a plug to zero out your capital account and not give you basis or increase your at risk amount. if correct. this would limit your loss deduction to $20K
