Special Allowance for Rental Real Estate: Can I defer losses and how to enter on 8582

[cgo_b]

I am eligible for special allowance $25K deduction (active, AGI<100k). My rental loss is $8k. Can i defer/carry-over the $8k for future use against passive income and just use the $25k special allowance to deduct against my total income (ie. incl. non-passive)? If so, how do I enter this on Sche E (enter $25k for line 25 and line 26?) And how do I enter on form 8582 to suspend/carry forward the $8k (list in Part VII and VIII as Unallowed Loss?) thank you.

[AmeliesUncle]

Maybe I'm misreading your post, but the $25,000 is not an 'extra' deduction that you get.  If your passive rental has a loss, you can deduct UP TO $25,000 of that loss if you qualify.  So you have a $8,000 loss, so you can deduct $8,000 against your nonpassive income.   If your rental had a $30,000 loss, you could only deduct $25,000 and the rest would be carried forward.

You can not elect to not take it with the intent to carry it forward.

[cgo_b]

thank you. even after reviewing numerous webpages, instructions, videos, etc, this answer was clear and straightforward; i get it now.