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mslius
New Member

Why can't I deduct rental loss?

I am actively participating. Spend more than 750 hrs. My AGI is less than 150K.

Still, I put in that I spent 20K in repairs. But on schedule E, it only showed 9k. The net income is 0, but not showing a loss.

I am very puzzled.

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1 Reply
JamesG1
Employee Tax Expert

Why can't I deduct rental loss?

Within the rental property activity, make sure that you indicated that you were an active participant.

 

 

Access the screen by following these steps:

 

  • Across the top of the screen, click on Business.
  • Click Continue.
  • Click I'll choose what I work on.
  • Click Continue.
  • Scroll down to Rental Properties and Royalties.
  • Click to the right of Rental Properties and Royalties (Sch E).
  • Click through the screens.
  • At the screen Your 2024 rentals and royalties summary, click the pencil to the right of the rental activity.
  • At the screen Review your Rental Summary, click to the right of Property Profile and General Property Information.
  • Click through the screens to the screen You indicated You Actively Participate.

You said that you spend more than 750 hours.  Have you indicated that you are a Real Estate Professional?

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