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Old 03-05-2007, 04:46 PM
TaxGuru TaxGuru is offline
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Join Date: Jan 2007
Location: New Jersey, USA
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Kathy,

These losses are suspended for future years to be offset against other passive actiity gains from your current and other rental activities.

These losses are not lost, and if you do not have passive gains in the future activities they are aggregated and were you to ever sell or dispose of these properties, the losses become unsuspended and increase your basis in the investment property thereby potentially lowering your taxable gain.
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