Why are bulk sales of passive activities not taking carryover losses?

[Gigi154]

I have a bulk sale of 3 buildings that are passive activities with active participation.

3 buildings, and 3 assets listed as land.

The bulk sale records properly, but frees up the carryover loss on the first asset only.

I put a "1" in the total disposition of passive activity box for each asset, but only one asset is taking the carryover losses on schedule E.

Support has no help and doesn't get back to me. They can't find any wrong input.

Ideas anyone?

Thanks!

[sjrcpa · Accepted solution]

If you had them as 3 different rental properties, maybe you should report 3 different sales.

And/Or, in the Sch E rental input, make sure you mark each one as a complete disposition.

[Gigi154]

That's the ticket! i had to mark each one on schedule E as "delete next year"

thanks so much, support was clueless. I've been waiting 3 days for a reply from them.

[sjrcpa]

You're welcome. Most of the time you are better off asking here and skipping Support.