Passive Activity Loss Rules for Trusts and Estates: Rental Real Estate and Aragona Trust v. Commissioner of Internal Revenue (PDF)
Trusts and estates are subject to the passive activity loss limitation rules. Under the passive activity loss rules of IRC Sec. 469, a taxpayer must determine whether each of its trade or business activities is a passive activity. With certain exceptions, rental activities are generally considered passive. In Aragona Trust v. Comm., the Tax Court examined the exception. This EIA discusses these passive activity rules and the Aragona Trust case.
Diane L. Mutolo J.D., LL.M. is a member of the New York Bar, and her LL.M. is in Taxation. She is the update author for the LexisNexis Matthew Bender treatise, How to Save Time & Taxes Preparing Fiduciary Income Tax Returns.
Ask the LexisNexis experts - and get a complete answer based on today's law.
An authoritative analysis of important cases, codes, statutes, rulings, emerging issues or legal topics is available now - through LexisNexis Emerging Issues Analysis. The brain trust of LexisNexis authors - thousands of recognized authorities who develop the respected Matthew Bender®, Mealey's and Martindale-Hubbell® treatises and articles - produce this highly specific content. Each commentary covers an important case, code, statute, ruling or emerging issue such as subprime, nanotechnology, or climate change. More current and concentrated than treatises and more analytical than news, Emerging Issues Analysis bridges the information gap betwee
Emerging Issues Analysis PDFs should be purchased individually.