Can you claim a loss on rental property?

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asked Nov 3, 2019 in Real Estate - Renting by rodrigo2ch (310 points)
Can you claim a loss on rental property?

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answered Nov 4, 2019 by linda (23,580 points)
As long as your income is $100,000.00 or less per year you can claim a loss on rental property as a deduction.

What the tax code says is an individual may deduct up to $25,000 of real estate loss per year as long as you earn $100,000.00 or less.

You cannot deduct more than $25,000.00 per year but as long as it's $25,000.00 or less per year you can deduct it from your income taxes.

The ability to claim a loss on rental property is a special tax rule that lets you deduct up to the $25,000.00 per year from real estate rental property that you actively participate in.

Rental income is considered passive income and passive activity income is not deductible against non-passive income, such as wages.

But you can deduct the loss on rental property separately.

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