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ltchen5
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1099 R and passive loss from rental property

May I use the passive loss deduction from a rental property against my 1099 R early distribution income?

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1099 R and passive loss from rental property

No, passive losses can only be used to offset passive income. 

 

Suspended passive losses are released when you dispose of the activity.

1099 R and passive loss from rental property

Possibly ... read the form 8582 ... up to $25K of passive loss may offset regular income.

 

https://www.irs.gov/pub/irs-pdf/f8582.pdf

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