topic I have losses from partnership real estate company on my schedule k-1. But I am not getting any deduction for it in my taxable income. TurboTax enters it as $0 in Business & farm

I have losses from partnership real estate company on my schedule k-1. But I am not getting any deduction for it in my taxable income. TurboTax enters it as $0

pcda — Mon, 30 Mar 2020 01:10:35 GMT

My total gross income is 129000 for the family (wife and I). I have 4,600 loss reported on my schedule K-1 and have a 50% limited partnership. Also, selected this investment “at-risk limitations”. But Turbo Tax enters it as $0, I don't see any deduction for this losses anywhere.

Re: I have losses from partnership real estate company on my schedule k-1. But I am not getting a...

KarenM90 — Mon, 30 Mar 2020 01:51:00 GMT

If your adjusted gross income is $129,000 (under $150,000) you would generally get some benefit from those rental losses. However, there are other limitations on rental (passive) losses which determine if/when you can deduct them.

If you have other passive income, any deductible passive losses would first offset that income, before generating an offset for your ordinary income.

If you do not have a sufficient "basis" in the partnership, your losses may be suspended and carried forward.

Here is a link to more information on partnership basis calculations: Basis of Partner's Interest.

If you are not sure if any of these instances occurred, I encourage you to upgrade to the LIVE Product, so that you can have a LIVE CPA or EA log in and take a look at your return with you to determine what happened to those losses.

Re: I have losses from partnership real estate company on my schedule k-1. But I am not getting a...

pcda — Wed, 01 Apr 2020 17:41:34 GMT

Thanks for your reply. Appreciate it!