. Luzia, who has AGI of $85,000 before considering rental activities, is active in three separate real estate rental activities and is in the 22% tax bracket. She has $8,000 of losses from Activity A, $22,000 of losses from Activity B, and income of $4,000 from Activity C. She also has $1,000 of tax credits from Activity C. Calculate her deductions and credits allowed and the suspended losses and credits. If an amount is zero, enter "0". a. Luzia's deductions (her utilized loss) total $. b. Her suspended loss is $. c. After deducting the loss, Luzia has available a deduction equivalent of $. d. Her utilized credit is $, and her suspended credit is $. 2. Dadjiana, who has AGI of $54,000 before considering rental activities, is active in three separate real estate rental activities and is in the 22% tax bracket. She has $4,500 income from Activity A, $9,000 of losses from Activity B, and losses of $8,700 from Activity C. She also has $3,000 of tax credits from Activity C. Calculate her deductions and credits allowed and the suspended losses and credits. If an amount is zero, enter "0". a. Dadjiana's deductions (her utilized loss) total $. b. Her suspended loss is $. c. After deducting the loss, Dadjiana has available a deduction equivalent of $. d. Her utilized credit is $, and her suspended credit is $. 3. Waverley, who has AGI of $98,000 before considering rental activities, is active in three separate real estate rental activities and is in the 22% tax bracket. She has $13,000 income from Activity A, $20,000 of losses from Activity B, and losses of $21,400 from Activity C. She also has $6,800 of tax credits from Activity C. Calculate her deductions and credits allowed and the suspended losses and credits. If an amount is zero, enter "0". a. Waverley's deductions (her utilized loss) total $. b. Her suspended loss is $. c. After deducting the loss, Waverley has available a deduction equivalent of $. d. Her utilized credit is $, and her suspended credit is $. 4. Indicate whether the following statements are "True" or "False" regarding the rules designed to limit the tax benefits a taxpayer may obtain from a tax shelter investment. 1. The tax benefits associated with tax shelter investments are reduced by the at-risk provisions and the passive activity loss rules. 2. The passive activity loss rules only apply to individuals and personal service corporations. 3. A taxpayer's deductible loss from an activity for any taxable year is limited to the amount the taxpayer has at risk at the end of the taxable year. 4. Losses from passive activities that are disallowed in the current year may be carried forward to future years where they may provide a tax benefit. 5. In general, passive activity losses can only offset passive activity income.
1. Luzia, who has AGI of $85,000 before considering rental activities, is active in three separate real estate rental activities and is in the 22% tax bracket. She has $8,000 of losses from Activity A, $22,000 of losses from Activity B, and income of $4,000 from Activity C. She also has $1,000 of tax credits from Activity C.
Calculate her deductions and credits allowed and the suspended losses and credits. If an amount is zero, enter "0".
a. Luzia's deductions (her utilized loss) total $.
b. Her suspended loss is $.
c. After deducting the loss, Luzia has available a deduction equivalent of $.
d. Her utilized credit is $, and her suspended credit is $.
2.
Dadjiana, who has AGI of $54,000 before considering rental activities, is active in three separate real estate rental activities and is in the 22% tax bracket. She has $4,500 income from Activity A, $9,000 of losses from Activity B, and losses of $8,700 from Activity C. She also has $3,000 of tax credits from Activity C.
Calculate her deductions and credits allowed and the suspended losses and credits. If an amount is zero, enter "0".
a. Dadjiana's deductions (her utilized loss) total $.
b. Her suspended loss is $.
c. After deducting the loss, Dadjiana has available a deduction equivalent of $.
d. Her utilized credit is $, and her suspended credit is $.
3. Waverley, who has AGI of $98,000 before considering rental activities, is active in three separate real estate rental activities and is in the 22% tax bracket. She has $13,000 income from Activity A, $20,000 of losses from Activity B, and losses of $21,400 from Activity C. She also has $6,800 of tax credits from Activity C.
Calculate her deductions and credits allowed and the suspended losses and credits. If an amount is zero, enter "0".
a. Waverley's deductions (her utilized loss) total $.
b. Her suspended loss is $.
c. After deducting the loss, Waverley has available a deduction equivalent of $.
d. Her utilized credit is $, and her suspended credit is $.
4. Indicate whether the following statements are "True" or "False" regarding the rules designed to limit the tax benefits a taxpayer may obtain from a tax shelter investment.
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