Sam purchased a 10% capital and profit interest in the partnership in 2021 he does not participate in the partnership's business Sam has no passive income in the current year it's distributive share of the partnership loss is 40,000 for this year Sam's outside basis in the partnership is 32,000 and his at risk basis is 16,000 at the end of the current year 

How much of the loss can see him deducted on his tax return?

Answer rating: 100% (QA)

In this scenario Sam can deduct 16000 of the partnership loss on his ta... View the full answer