Hello!
I’m trying to fill in US Tax Schedule E. And I have a question about at-risk rules.
I’m leasing my house back in Canada and have rental loss from it. But in order to fill in line 22 of Schedule E I have to determine if I’m at risk or not. And I confused as I cannot understand what is this at-risk rules are.
May be you can give me some example to clarify when I can consider my losses to satisfy these at-risk rules, and when I cannot.
All the advices will be appreciated.
Rental loss and at-risk rules
Moderator: Mark T Serbinski CA CPA
Rather than getting bogged down with arcane at-risk rules, I would simply suggest that you look up "rental loss" on the irs website.
You will see that as long as you, not a corporation, own the property, do not have some weird mortgage that you can't foreclosed on, and the loss is less than $25,000, you will have no problem.
You may have to fill an extra form 8582, or not.
You will see that as long as you, not a corporation, own the property, do not have some weird mortgage that you can't foreclosed on, and the loss is less than $25,000, you will have no problem.
You may have to fill an extra form 8582, or not.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
[quote]You will see that as long as you, not a corporation, own the property, do not have some weird mortgage that you can't foreclosed on[/quote]
Hi Nelsona,
Do you mean that I can be considered at risk for qualified nonrecourse financing secured by real property used in the activity of holding real property? Thus I do not need to fill in Form 6198 is that right?
Thank you
Hi Nelsona,
Do you mean that I can be considered at risk for qualified nonrecourse financing secured by real property used in the activity of holding real property? Thus I do not need to fill in Form 6198 is that right?
Thank you
