topic What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this in Business & farm

What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

jboles34 — Mon, 09 Mar 2026 06:20:47 GMT

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

MayaD — Mon, 07 Feb 2022 13:16:16 GMT

Form 3801 is filed by individuals, estates, trusts, and S corporations that have losses (including prior year unallowed losses) from passive activities.

Passive activities include trade or business activities in which you don't materially participate. Home rentals, and limited partnership are considered examples of common passive activity.

The form won't be available until 2/10/2022 and can't be e-filed. California Individual Form Availability

2020 Instructions for Form FTB 3801

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

savuti94 — Fri, 11 Feb 2022 00:15:36 GMT

California state tax form 3801 seems to still not be available. Not until 3/3/2022? Is this accurate?

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

RobertB4444 — Fri, 11 Feb 2022 03:52:33 GMT

That is the date given as of this time.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

allieo — Sun, 13 Feb 2022 07:37:16 GMT

If I didn't have any losses, why do I still need to file this?

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

JamesG1 — Sun, 13 Feb 2022 17:19:06 GMT

The exceptions are listed here.

Form FTB 3801 is filed by individuals, estates, trusts, and S corporations that have losses (including prior year unallowed losses) from passive activities. Additional information for nonresidents, part-year residents, and S corporations is provided below.

Exception. You do not have to file form FTB 3801 if you meet both of the following conditions:

You have a net loss from rental real estate activities that is fully deductible under the special allowance for rental real estate.
You have no other passive activities.

Passive activity is activity that a taxpayer did not materially participate in during the tax year. The Internal Revenue Service (IRS) defines two types of passive activity:

trade or business activities to which the taxpayer did not actively contribute, and
rental activities.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

ryan2 — Mon, 14 Feb 2022 19:16:35 GMT

How does TurboTax determine that I need to fill out this form? I don't believe I have, or entered on the federal return, any losses that would require me to fill out this form. I am being blocked to file my state return due to this form.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

GeorgeM777 — Mon, 14 Feb 2022 23:24:46 GMT

Assuming you have no passive activity loss limitations in the current year, Form 3801 is not necessary and deleting it may resolve the issue you are having with Form 3801. Follow these steps to delete Form 3801.

Open or continue your return in TurboTax.
In the left menu, select Tax Tools and then Tools.
In the pop-up window Tool Center, choose Delete a form.
Select Delete next to the form/schedule/worksheet in the list and follow the instructions.

Here is a link to a TurboTax article discussing how to delete a form which you also may find helpful.

How to View and Delete Forms in TurboTax Online

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

RobertB4444 — Tue, 15 Feb 2022 01:03:39 GMT

If you have a passive activity (a rental house or something of that nature) then you aren't allowed to deduct all of your losses all at once. That form tracks them.

If you don't have any passive losses or gains to track for this year then delete your California return and see if starting it over doesn't fix the issue.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

allieo — Tue, 15 Feb 2022 04:59:30 GMT

I've tried deleting and redoing the state return as well as attempting to delete form 3801 and for some reason it just stays.

I don't have any passive activities or rental properties... I guess maybe I should just wait until 3/3/2022?

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

JamesG1 — Tue, 15 Feb 2022 20:32:44 GMT

You may choose to file your Federal tax return now and and file your state tax return at a later time.

This TurboTax Help explains how that is done.

The exceptions to filing the form are listed here.

Exception. You do not have to file form FTB 3801 if you meet both of the following conditions:

You have a net loss from rental real estate activities that is fully deductible under the special allowance for rental real estate.
You have no other passive activities.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

zukasama — Wed, 16 Feb 2022 05:17:01 GMT

Hello, I have the same issue. I do not believe I need to file this form 3801, but I keep getting the error message that this form is not available and I am unable to file my state return. I am unable to delete the form either, I tried and it shows the form is successfully deleted, but in the form list, form 3801 is still there after getting this message "successfully deleted"

And, I actually do see this form 3801 is available on the internet website.

Something must be wrong with TurboTax. I hope they fix this issue causing troubles.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

JamesG1 — Wed, 16 Feb 2022 14:12:30 GMT

It sounds like the form is regenerating after it has been deleted under Tax Tools / Tools / Delete a form.

If so, there is something in the tax return that is regenerating the form.

Are you reporting rental real estate income on your Federal 1040 tax return? Please clarify.

You may choose to file your Federal tax return now and and file your state tax return at a later time.

This TurboTax Help explains how that is done.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

zukasama — Wed, 16 Feb 2022 19:46:23 GMT

Hello, THank you for reply.

I do not have any real estate related items. I have already filed Federal 1040. I am unable to file the state tax return due to this issue of turbotax regenerating the form 3801.

THank you for advice.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

ThomasM125 — Wed, 16 Feb 2022 21:35:08 GMT

@zukasama Often you have passive income as a consequence of ownership in a partnership, trust or S corporation. If you reported any K-1 schedules on your tax return, that can come from such an ownership and may require form 3801 to be generated.

Also, you may have losses carried over from previous years that will require form 3801 to be generated in the current year.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

ppoerink — Sat, 19 Feb 2022 23:16:37 GMT

I've never seen this before why would it say I need to file this.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

JamesG1 — Sun, 20 Feb 2022 13:54:40 GMT

Your return may contain passive activity such as rental income or passive income from an estate, trust or S corporation.

Exceptions

You do not have to file form FTB 3801 if you meet both of the following conditions:

You have a net loss from rental real estate activities that is fully deductible under the special allowance for rental real estate.
You have no other passive activities.

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

NelsonE — Sun, 20 Feb 2022 22:11:09 GMT

I am also stuck in this process. I need my taxes ready ASAP since highschool financial aid process is asking for them and I cannot apply for this yet until this form 3801 is uploaded. Too bad!!!

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

nawararabo82 — Mon, 21 Feb 2022 06:16:24 GMT

I tried to delete the form and Turbotax keeps adding it back!

Re: What is the Form 3801 (Passive Activity Loss Limitations) for? Why do I have to file this

JamesG1 — Mon, 21 Feb 2022 13:39:50 GMT

You may choose to file your Federal tax return now and file your state tax return at a later time.

This TurboTax Help explains how that is done.

The exceptions to filing the form are listed here.

Exceptions

You do not have to file form FTB 3801 if you meet both of the following conditions:

You have a net loss from rental real estate activities that is fully deductible under the special allowance for rental real estate.
You have no other passive activities.

@NelsonE