sstreit
Level 2
This widget could not be displayed.

I'm working on a return with Schedule E land rent - taxpayer does not actively or materially participate.  There is rent income, real estate taxes and some insurance.  That's it.  It results in income (not a loss).  Proseries is defaulting to "nonpassive" for this income which will then not offset a passive loss from a K-1 on Sch E p. 2.  Last year, exact same situation and it was passive.  When I scroll all the way to the bottom of the Schedule E worksheet it clearly shows that it has nonpassive status and overriding that to "passive" does not change anything.  Any idea why it is doing this and how to fix it?

Labels (1)