Rental losses

[gmadden]

As I enter more expenses for a rental property, tax payer's tax liability goes up. Is this right? They do have unallowed losses from previous years, but under what scenario should taxes go down when profit goes up?

[Just-Lisa-Now-]

print a copy, add some expenses, then print a new copy...can you see whats changing?

[TaxGuyBill]

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@gmadden wrote:

 under what scenario should taxes go down when profit goes up?

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My first thought is EIC could do that.

[gmadden]

Nope. Gross income is over 300k.

[sjrcpa]

If you're entering more expenses, profit is decreasing not going up.

[gmadden]

Also, know that previous losses are offsetting the profits. 

[sjrcpa]

AMT?

[abctax55]

QBI ?

But I do have to say, rather than concentrating on the tax liability changing with various entries....... reconcile the Sch E with the *CORRECT* expenses as well as the F 8582 including all PALs.

Then look at what the correct liability is...