Passive Activity Loss Carryforward

Forum|Forum|7 months ago
March 12, 2026
1 reply
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I have passive activity loss from a rental property that has since been converted to personal use.

I have passive activity income from other rental property that I have a K-1 for.

Turbo tax has not carried forward my passive activity loss from my 2024 Form 8582 to offset my K-1 income. Where & how do I put this information into Turbo Tax so it generates a Form 8582 and Schedule E?

Best answer by AmeliesUncle

Unfortunately, TurboTax is severely deficient with that.

You need to create a fake rental property (the property that is now your personal residence) and enter $0 rental income and $0 expenses, but have it show the carryover Passive Losses.

When you do that, the program will apply the carryover Passive Losses to your current year Passive Income.

AmeliesUncleAnswer

Level 15

Unfortunately, TurboTax is severely deficient with that.

You need to create a fake rental property (the property that is now your personal residence) and enter $0 rental income and $0 expenses, but have it show the carryover Passive Losses.

When you do that, the program will apply the carryover Passive Losses to your current year Passive Income.