DESCRIPTION
This module provides a review of passive activity and at-risk rules, including those for real estate professionals. It discusses the important role of debt in calculating at-risk basis. Both rental activities and other passive activities are discussed. The module ends with an in-depth analysis of the at-risk basis calculation.
LEARNING OBJECTIVES
- Identify the rules for passive activities
- Identify the real estate professional rules
- Define the concept of at-risk basis
- Identify the increases and decreases to at-risk basis
- Analyze a comprehensive at-risk basis calculation
