Instructions For Form 8582-Cr (Rev. December 2009) Page 10
ADVERTISEMENT
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15pass-through entity, use lines 3a
normally used. Do not complete
Include in modified adjusted gross
through 3c only if you also acquired
Worksheets 5 through 9.
income any portfolio income and
your interest in the pass-through
expenses that are clearly and directly
entity after 1989. Use Worksheet 3 to
allocable to portfolio income. Also
Part II—Special
figure the amounts to enter on lines
include any income that is treated as
3a and 3b.
Allowance for Rental
nonpassive income, such as overall
gain from a PTP and net income from
Include the credits in
Real Estate Activities
!
an activity or item of property subject
Worksheet 4, but not in
to the recharacterization of passive
Worksheet 2 or 3, if you are
With Active Participation
CAUTION
income rules. For information on
married filing a separate return and
recharacterization of income, see
lived with your spouse at any time
Married persons filing
Pub. 925 or Temporary Regulations
during the year.
!
separate returns who lived
section 1.469-2T(f).
Lines 4a through 4c. Individuals
with their spouses at any time
CAUTION
must include on lines 4a through 4c
during the year are not eligible to
When figuring modified adjusted
credits from passive activities that
complete Part II.
gross income, any overall loss from
were not entered on Worksheets 1, 2,
an entire disposition of an interest in
Use Part II to figure the credit
or 3. Trusts must include credits from
a passive activity is taken into
allowed if you have any credits from
all passive activities in Worksheet 4.
account as a nonpassive loss if you
rental real estate activities in which
Use Worksheet 4 to figure the
do not have any net passive income
you actively participated (other than
amounts to enter on lines 4a and 4b.
after combining net income and
rehabilitation credits and low-income
Line 6. If Form 8582, line 4, shows
losses from all other passive activities
housing credits). See Rental Activities
net income or you did not complete
(that is, Form 8582, line 4 is a loss or
beginning on page 1 for details.
Form 8582 because you had net
zero). If you do have net passive
Line 9. Married persons filing
passive income, you must figure the
income when you combine the net
separate returns who lived apart from
tax on the net passive income. If you
losses and net income from all other
their spouses at all times during the
have an overall loss on an entire
passive activities, the overall loss
year must enter $75,000 on line 9
disposition of your interest in a
from the disposition is taken into
instead of $150,000. Married persons
passive activity, reduce net passive
account as a nonpassive loss only to
filing separate returns who lived with
income, if any, on Form 8582, line 4,
the extent that it exceeds that net
their spouses at any time during the
to the extent of the loss (but not
passive income.
year are not eligible for the special
below zero) and use only the
Line 12. Do not enter more than
allowance. They must enter -0- on
remaining net passive income in the
$12,500 on line 12 if you are married
line 16 and go to line 17.
computation below. If you had a net
filing a separate return and you and
Line 10. To figure modified adjusted
passive activity loss, enter -0- on line
your spouse lived apart at all times
6 and go to line 7.
gross income, combine all the
during the year. Married persons filing
amounts used to figure adjusted
Figure the tax on net passive
separate returns who lived with their
gross income except do not take into
income as follows.
spouses at any time during the year
account:
are not eligible for the special
•
Any passive activity loss as defined
A. Taxable income
allowance. They must enter -0- on
including net
in section 469(d)(1),
line 16 and go to line 17.
•
passive income . . . . .
Any rental real estate loss allowed
Line 15. Figure the tax attributable
B. Tax on line A* . . . . . . . . . . . . . .
to real estate professionals (defined
to the amount on line 14 as follows.
under Activities That Are Not Passive
C. Taxable income without
net passive income . . .
Activities on page 1),
•
A. Taxable income . . . . . . .
Any overall loss from a PTP,
D. Tax on line C* . . . . . . . . . . . . . .
•
The taxable amount of social
B. Tax on line A* . . . . . . . . . . . . . .
E. Subtract line D from line B
security and tier 1 railroad retirement
and enter the result on
C. Enter amount from Form
benefits,
Form 8582-CR, line 6 . . . . . . . . .
8582-CR, line 14 . . . . . .
•
The deduction allowed under
* For Form 1040, use the Tax Table, Tax Computation
D. Subtract line C from line
section 219 for contributions to IRAs
Worksheet, or other appropriate method you used to
A . . . . . . . . . . . . . . . .
figure your tax. For Form 1041, use the Tax Rate
and certain other qualified retirement
Schedule, Qualified Dividends Tax Worksheet, or
E. Tax on line D* . . . . . . . . . . . . . .
plans,
Schedule D, whichever applies.
•
The domestic production activities
F. Subtract line E from line B
Note. When using taxable income in
and enter the result on
deduction,
•
the above computation, it is not
Form 8582-CR, line 15 . . . . . . . .
The deduction allowed for one-half
necessary to refigure items that are
of self-employment taxes,
•
based on a percentage of adjusted
The exclusion from income of
* For Form 1040, use the Tax Table, Tax Computation
gross income.
interest from series EE and I U.S.
Worksheet, or other appropriate method you used to
figure your tax. For Form 1041, use the Tax Rate
Line 7. If line 7 is zero because the
savings bonds used to pay higher
Schedule, Qualified Dividends Tax Worksheet, or
tax on the net passive income on line
education expenses,
Schedule D, whichever applies.
•
6 is greater than your credits from
The exclusion of amounts received
Note. When using taxable income in
passive activities on line 5, all your
under an employer’s adoption
the above computation, it is not
credits from passive activities are
assistance program,
•
necessary to refigure items that are
allowed. In this case, enter the
The student loan interest
based on a percentage of adjusted
amount from line 5 on line 37 and
deduction, or
•
gross income.
report the credits on the forms
The tuition and fees deduction.
-10-
Instructions for Form 8582-CR (2009)
ADVERTISEMENT
0 votes
Related Articles
Related forms
Related Categories
Parent category: Financial