Hello everyone,

Is the sale of a residential rental property sold at a loss limited to $3,000.00 a year?  My clients have a legitimate $70,000.00 (approx.) loss on the sale of a property that was rented since 2015 until time of sale (Aug 2019).   Proseries is allowing the full amt to be deducted as an ordinary loss.  This offsets the Schedule C income of almost the same amt.  Is that correct or is the loss limited to $3,000.00 per year?

It shows Form 4797

Thanks for any help & more importantly your time.