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All Forum Posts by: Ouafae Fathi

Ouafae Fathi has started 1 posts and replied 5 times.

Quote from @Eric Williams:
Quote from @Ouafae Fathi:

I am realtor. We bought a house last year as a rental property. My spouse earns more than 150k. When filling tax return turbo Tax staff told him he can not deduct the losses ( expenses and depreciation) snice his income is above 150k. But he did not mentioned that I am realtor. I also manage the rental property. Can we still fill those losses and deprecation this year? or do we have to carry them to next year tax filling? Thanks.


 Carryover likely. 

That 150k was the active participation exception complete phase out amount. That means you have to pass the real estate professional exception and then the material participation test.

A real estate professional for Federal tax purposes is based on measurable efforts found in two tests, and not on state level designations or occupations.

 Thank you Eric for your reply. 

Quote from @Basit Siddiqi:

You might want to see if you can claim real estate professional status.
Depends on if you been documenting your hours as an realtor.


 Hi Basit, 

Thanks for your replay. I have been an active realtor the whole year (2022) and still. How can I document my hours? I know that I spent more than 750 hours doing real estate transactions and managing my rental property. Thanks again for your help.  

I am realtor. We bought a house last year as a rental property. My spouse earns more than 150k. When filling tax return turbo Tax staff told him he can not deduct the losses ( expenses and depreciation) snice his income is above 150k. But he did not mentioned that I am realtor. I also manage the rental property. Can we still fill those losses and deprecation this year? or do we have to carry them to next year tax filling? Thanks.