In 2021, Len, a single taxpayer, operates a sole proprietorship in which he materially participated. His proprietorship
Posted: Sun Jul 03, 2022 4:15 pm
In 2021, Len, a single taxpayer, operates a sole proprietorshipin which he materially participated. His proprietorship generatesgross income of $330,000 and deductions of $620,000, resulting in aloss of $290,000. The large deductions are due tp the acquisitionof equipment and the use if immediate expense and additionalfirst-year depreciation to deduct all of the acquisitions. What isLens excess business loss of the first year?
A- $0
B-$21,000
C- $28,000
D-$280,000
E- None of these
A- $0
B-$21,000
C- $28,000
D-$280,000
E- None of these