Does passive loss carryover for rental real estate if it has been sold?

[yoshl]

I had a loss on my rental real estate on the year I sold the property. 

Will this passive loss carryover to the tax return for the next year?

[tagteam · Accepted solution]

No. Suspended passive losses are released in the tax year the underlying property is sold to an unrelated third party in a taxable transaction.

[yoshl]

What if it was a partial gift/partial sale to a related party? 

[tagteam]

Losses are not allowed until the related party disposes of the property in a taxable transaction.

[Critter-3]

Your unallowed loss is gifted to the relative and is used in their basis calculation  and can only be taken on their return when that property is sold.