gmadden
Level 2
03-25-2022
06:04 PM
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As I enter more expenses for a rental property, tax payer's tax liability goes up. Is this right? They do have unallowed losses from previous years, but under what scenario should taxes go down when profit goes up?
Labels
Level 15
03-25-2022
06:09 PM
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print a copy, add some expenses, then print a new copy...can you see whats changing?
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TaxGuyBill
Level 15
03-25-2022
06:16 PM
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@gmadden wrote:
under what scenario should taxes go down when profit goes up?
My first thought is EIC could do that.
gmadden
Level 2
03-25-2022
06:41 PM
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Nope. Gross income is over 300k.
sjrcpa
Level 15
03-25-2022
06:43 PM
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If you're entering more expenses, profit is decreasing not going up.
The more I know the more I don’t know.
gmadden
Level 2
03-25-2022
06:43 PM
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Also, know that previous losses are offsetting the profits.
sjrcpa
Level 15
03-25-2022
07:50 PM
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AMT?
The more I know the more I don’t know.
abctax55
Level 15
03-25-2022
08:06 PM
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QBI ?
But I do have to say, rather than concentrating on the tax liability changing with various entries....... reconcile the Sch E with the *CORRECT* expenses as well as the F 8582 including all PALs.
Then look at what the correct liability is...
HumanKind... Be Both