Passive loss carryover & the FEIE

[clyk23]

I own rental property in the US and reside abroad. If my rental losses exceed my income and my other income is completely offset by the FEIE so that my AGI is negative, can I carry over the passive losses?  So for example, if my passive losses are $15,000 my rental income is $10,000, and my AGI is -$5000, does that mean $5000 can carry over? 

If so, where do I record it? On form 8252, it shows that the entire amount is allowed, but I don't see a field for the amount not used.

Or is it just the unallowed amount under PAL rules? If so, is it because the remaining was offset by the FEIE?

[ThomasM125]

Since you have a net loss for the year, that is considered a Net Operation Loss (NOL), which can be carried over to future years. A passive loss is different from a NOL, in that a passive loss on a rental can usually be written off up to $25,000 against ordinary income, but the NOL can be used to reduce all taxable income for future years, up to the amount of the loss.

You can query "NOL" in the search box on your TurboTax screen and you will see a "Jump To"  option that you can click on to find the NOL worksheet in TurboTax. When you complete that, TurboTax will carry your NOL over to next year automatically.