Posted by William Bronchick on March 07, 2002 at 17:33:11:
It has to do with deduction of losses. If you are not active, you cannot use the losses to offset other actively earned income.
Active vs Passive Management - Posted by MAC
Posted by MAC on March 07, 2002 at 13:48:17:
What are the tax consequences for active vs. passive management. I am looking at a purchase of property in another area that would be difficult for me to be a ?hands on? manager.