Tax Tip: Use $25K Rental Loss to decrease your taxes

Discussion in 'US Taxes' started by Tax Tip, Jun 11, 2008.

  1. Tax Tip

    Tax Tip Guest

    The tax loss you can claim on your rental property totally depends on
    how much money you make, and whether or not your rental activity is
    considered a passive activity.

    For the majority of real estate investors, rental income is passive
    income. As a result:

    You can deduct up to $25,000 of rental losses on your tax return. If
    your adjusted gross income is between $100,000 and $150,000, you can
    deduct up to ($150,000 - Your Income)/2.

    If your losses exceed the limit, they can be carried forward for up to
    15 years. To learn more about deductible loss and how it affects your
    Schedule E, take a look at (http:// It’s a forum for real estate investors to learn
    how others are saving money on their real estate investments, and it’s
    an easy way to get prepared for taxes.

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    Tax Tip, Jun 11, 2008
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  2. Tax Tip


    May 21, 2010
    Likes Received:
    ONe thing wrong in your posts

    Losses not allowable for rental real estate are carried forward indefinitely (not just 15 years)
    CACPA, May 21, 2010
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