Skip to content
Warren AI
Sign in
Income Tax Planning
Chapter 14: Passive Activity Rules/REAL ESTATE PROFESSIONALS' EXCEPTION (2 OF 2)
Warren Academy Course SyllabusSyllabus Slides
Chapter Study Session

Chapter 14: Passive Activity Rules

REAL ESTATE PROFESSIONALS' EXCEPTION (2 OF 2)

01.Core Concepts

Closely Held C Corporations • Are eligible if more than 50% of the gr oss receipts of the corporation is derived from real property trades or businesses in which the corporation materially participates. • May utilize excess PALs against active, but not portfolio, income.