tccpg289
Level 4
06-05-2022
10:35 AM
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A taxpayer has a 1065 in which they hold real estate and generate rental income.
The rental income is short-term in nature, thus they do not need to classify it as a passive activity when incurring losses.
Regarding where to enter in ProConnect:
Are the buildings depreciated on a 27.5-year useful life?
How is the land portion of the building stripped out?
Where on the 1065 would it be indicated that this is "NOT" a passive activity?
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