A passive activity as a business activity in which a taxpayer is deemed not to actively participate. Losses sustained in the operation of a passive activity may be limited. Losses sustained in a business activity are also subjected to at-risk rules limitations.

Topics Covered

* Determining the amount you have at-risk in an activity
* Items that increase or decrease the amount you have at-risk
* Form 6198 At-Risk Limitations
* Purpose and scope of passive activity rules
* Definition of passive vs. nonpassive income
* How passive activity loss limitations work
* Exception for active participation in rental real estate activities
* Exception for real estate professionals
* Material participation defined
* Preparation of Schedule E, Page 2
* Preparation of Form 8582 Passive Activity Loss Limitations
* Grouping activities
* Sale of a passive activity
* Dispositions other than by sale
* Passive activity credits
* Publicly traded partnerships (PTPs)
* Activities that are not passive activities
* Rental income reportable as self-employment
* Farm rental income

You can purchase the manual for this course for $1.99 at http://pnwtaxschool.com/oc-catalog/al...

Pacific Northwest Tax School is approved by the following organizations as a provider of continuing education:
* The IRS
* NASBA QAS (NASBA Sponsor #109290),
* Oregon Tax Board,
* The Texas State Board of Public Accountancy (Texas Sponsor #009794)
* The New York State Board for Public Accountancy (Sponsor License #002479)

You can receive 3 hours of CE by enrolling in this course at http://pnwtaxschool.com/oc-catalog/al... The cost of the course is $50.

Terms of use

Pacific Northwest Tax School's course materials and teaching techniques are valuable proprietary information of Pacific Northwest Tax School, and all such information is subject to copyright, including written, recorded, internet based as well as all other electronic media. Each Student agrees that she/he will use the information only for purposes of education and training; and as a condition of enrollment, that they will not disseminate the information to any third party and will treat the materials as confidential information of Pacific Northwest Tax School. As a condition of enrollment, Students pledge not use any information in any competitive fashion, including to create or derive competitive materials. Students further agree that any breach of these terms and conditions shall cause the school irreparable harm, entitling Pacific Northwest Tax School to injunctive relief, as well as any other remedy that may be available at law or equity. Students shall have twelve months from date of enrollment in any continuing education course, to successfully complete the course and receive their Certificate of Completion.