Tax

Have a tax question? Ask a tax Expert

Ask an Expert,
Get an Answer ASAP!

This answer was rated:

For my 2017 NJ income tax return can I net losses from my NJ…

For my 2017 NJ...

For my 2017 NJ income tax return can I net losses from my NJ rental property against K-1 gains from another Real estate partnership I am a minority partner in?

Accountant's Assistant: The Accountant will know how to help. Please tell me more, so we can help you best.

My wife and I have an Ocean City, NJ shore property that we rent weekly in the summers. It generates a loss annually and these losses get net against gains we recognize on another investment. This other Investment is a real estate partnership and I am a minority partner in that venture. We get a K-1 each your that reflects a gain.

Accountant's Assistant: Is there anything else important you think the Accountant should know?

When we file using Turbo Tax, the loss is net against the gain for federal tax purposes but that doesn't seem to transfer over to the NJ state return. Only the K-1 income from the real estate partnership is reflected and that drives our taxable income higher in NJ. We are trying yo establish whether this rental property loss is not deductible or if there is another NJ business income form/return we have to complete that Turbo Tax does not lead you to automatically.

Show More
Show Less
Ask Your Own Tax Question
Customer reply replied 3 months ago
Posted by JustAnswer at customer's request) Hello. I would like to request the following Expert Service(s) from you: Live Phone Call.
Customer reply replied 3 months ago
Let me know if you need more information, or send me the service offer(s) so we can proceed.
Answered in 9 minutes by:
3/24/2018
Gerald, Esq
Gerald, Esq, Attorney
Category: Tax
Satisfied Customers: 5,366
Experience: Over 30 years of experience.
Verified

Hello,
Thank you for using Just Answer. Please bear with me while I review your question. I will respond fully shortly. Thank you for your patience.

Ask Your Own Tax Question
Customer reply replied 3 months ago
Ok, thank you

I can't address why Turbo tax is bnot allowing you to take the deduction.

NJ law allows you to deduct the rental losses in full in the year incurred against any gain within the same category of income. BUT you can not carry over losses. It must be taken only in the year that it occurred.

Good luck.

Please note: Information is educational and not given as legal advice. Only your local attorney can give legal advice. I can't establish or accept an attorney-client relationship with you. All posts are available for public viewing.

Kind regards,

Gerald

Ask Your Own Tax Question

See:

ftp://www.njleg.state.nj.us/20002001/S1000/734_I1.HTM

http://www.state.nj.us/treasury/taxation/njit9.shtml

Kind regards,

Gerald

(Please do not forget to rate me – click the five stars. It adds nothing additional to your costs, but it helps me greatly. Plus it is good Karma for you. Thank you.)

Ask Your Own Tax Question
Customer reply replied 3 months ago
Are these two real estate projects considered to be in the same income category? One is a limited partnership in a shopping center that generates taxable K-1 income each year. The other is a vacation property that we rent during the summer season in New Jersey. We satisfy all usage rules as we do not use it for personal use. While it provides cash flow, it generates a loss that gets net against that other property for federal income tax purposes.

Yes. They are both passive real estate investments. They are both in the category of capital income invstments (as opposed to ordinary income).

Ask Your Own Tax Question
Customer reply replied 3 months ago
Thank you Gerald. What schedule do I use to capture the rental property activity? Turbo Tax seems to automatically pickup the K-1 income on the LTD Partnership.

You would list your loss here:

http://www.state.nj.us/treasury/taxation/pdf/current/resbus1.pdf

Here are the over instructions for NJ:

http://www.state.nj.us/treasury/taxation/pdf/current/1040i.pdf

Gerald, Esq
Gerald, Esq, Attorney
Category: Tax
Satisfied Customers: 5,366
Experience: Over 30 years of experience.
Verified
Gerald, Esq and 87 other Tax Specialists are ready to help you
Ask your own question now
Customer reply replied 3 months ago
Thank you Gerald... FIVE STAR!

Thank you.

Ask Your Own Tax Question
Was this answer helpful?

How JustAnswer works

step-image
Describe your issueThe assistant will guide you
step-image
Chat 1:1 with a tax professionalLicensed Experts are available 24/7
step-image
100% satisfaction guaranteeGet all the answers you need
Ask Gerald, Esq Your Own Question
Gerald, Esq
Gerald, Esq
Gerald, Esq, Attorney
Category: Tax
Satisfied Customers: 5,366
5,366 Satisfied Customers
Experience: Over 30 years of experience.

Gerald, Esq is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Wallstreet Esq.

Wallstreet Esq.

Tax Attorney

586 satisfied customers

10 years experience

Mark D

Mark D

Enrolled Agent

1,338 satisfied customers

MBA, EA, Specializing in Business and Individual Tax Returns and Issues

Richard

Richard

Tax Attorney

4,512 satisfied customers

29 years of experience as a tax, real estate, and business attorney.

PhillipsEsq.

PhillipsEsq.

Attorney-at-Law

59 satisfied customers

B.A., M.B.A, J.D.

Robin D.

Robin D.

Senior Tax Advisor 4

15,569 satisfied customers

15years with H & R Block. Divisional leader, Instructor

Megan C

Megan C

Certified Public Accountant (CPA)

8,655 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

jgordosea

jgordosea

Enrolled Agent

2,885 satisfied customers

I've prepared all types of taxes since 1987.

< Previous | Next >

Related Tax Questions
The distribution from a k-1 to another partners, where is it
The distribution from a k-1 to another partners, where is it reported? … read more
Chad EA, CDFA®, CFP®
Chad EA, CDFA®, CFP®
IRS Enrolled Agent, CFP(R),
Master\u0027s Degree
2,494 satisfied customers
I am 50% partner in an LLC, taxed as partnership (form
I am 50% partner in an LLC, taxed as partnership (form 1065). The other 50% partner is my friend. This LLC's only assets were 2 single family houses, which we rented out. In 2016 we have sold both of … read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
15,569 satisfied customers
Profit or loss from the business of mini storage, is this considered
Profit or loss from the business of mini storage, is this considered Ordinary business income, or net rental real estate income? Thanks… read more
Lev
Lev
Retired
Bachelor\u0027s Degree Equivalent
27,134 satisfied customers
A have started an LLC in Texas, in real estate with some
Hello, A have started an LLC in Texas, for investing in real estate with some partners. We each invested $250 for a total of $1000 to start the LLC and prospect for homes. We each received 250 units o… read more
Lane
Lane
JD, MBA, CFP, CRPS
Doctoral Degree
47 satisfied customers
Let me re-phrase my question. If we are a partnership that
Let me re-phrase my question. If we are a partnership that is holding a house as an investment property, are the expenses and the future income, when we sell, to be considered as ordinary income and, … read more
R. Klein, EA
R. Klein, EA
Tax Advisor
Master\u0027s Degree
3,104 satisfied customers
My wife and I have some income property in a llc. Are we required
My wife and I have some income property in a llc. Are we required to pay self employment tax on any or report k1… read more
Tax.appeal.168
Tax.appeal.168
Principal
13 satisfied customers
Hi Stephen, I'm Roger. We have a family partnership of 3 partners
Hi Stephen, I'm Roger. We have a family partnership of 3 partners that only owns one real property that is under contract for sale. All of the partners inherited their interest from the original 3 par… read more
keeperumiami
keeperumiami
Sr Financial & Tax Consultant
Bachelor\u0027s Degree
1 satisfied customers
Our partnership recd a 1099-misc for the proceeds recd for
Our partnership rec'd a 1099-misc for the proceeds rec'd for both a temp and perm right of way. How are the funds reported on the partnership k1s… read more
Lev
Lev
Retired
Bachelor\u0027s Degree Equivalent
27,134 satisfied customers
TAX QUESTION: YOU HAVE TWO PROFESSIONALS THAT RUN AN OFFICE
TAX QUESTION: YOU HAVE TWO PROFESSIONALS THAT RUN AN OFFICE AND RENT THE BUILDING FROM A PARTNERSHIP THEY CREATED TO OWN THE REAL ESTATE. THEY MATERIALLY PARTICIPATE. IN THE FIRST TWO YEARS IT THEW OF… read more
keeperumiami
keeperumiami
Sr Financial & Tax Consultant
Bachelor\u0027s Degree
1 satisfied customers
I am executrix of my mothers small estate. She lived in Ocean
I am executrix of my mother's small estate. She lived in Ocean County, NJ and died 1/8/2010. (I reside in Maine). Her condo has finally sold--at a loss. All estate debts are paid and I am about to clo… read more
jgordosea
jgordosea
Enrolled Agent
Bachelor's Degree
2,885 satisfied customers
I entered into a contract to purchase a condominium in pre-development.
I entered into a contract to purchase a condominium in pre-development. I put down 20% of the purchase price, $200,000. Four years later, I did not have the financial resources to close the transactio… read more
keeperumiami
keeperumiami
Sr Financial & Tax Consultant
Bachelor\u0027s Degree
1 satisfied customers
I am using Turbo Tax, and have a loss on my K-1 line 2 of $242.
I am using Turbo Tax, and have a loss on my K-1 line 2 of $242. But Turbo Tax is not transferring it to my 1040... it shows a zero. I do have "At Risk" checked, and I have "actively Participating" che… read more
R. Klein, EA
R. Klein, EA
Tax Advisor
Master\u0027s Degree
3,104 satisfied customers
I am located in Maryland Usa and have inherited 2 summer rental
I am located in Maryland Usa and have inherited 2 summer rental properties between my 4 sisters and 1 brother. We made around $3,000 profit before depreciation this year. The 2 properties will have a … read more
Brenda Guy
Brenda Guy
Certified Public Accountant
Master\u0027s Degree
151 satisfied customers
I currently own a property (50/50 split) with a friend that
I currently own a property (50/50 split) with a friend that we currently rent to a 3rd party tenant. The rental income covers our mortgage and outlays so there is no out of pocket expense each month, … read more
Lev
Lev
Retired
Bachelor\u0027s Degree Equivalent
27,134 satisfied customers
We sold a rental property that we were in partnership with
We sold a rental property that we were in partnership with another party and we are haveing trouble with how to report our gain. Witch form to use. The other party got all the income and we got nothin… read more
Lev
Lev
Retired
Bachelor\u0027s Degree Equivalent
27,134 satisfied customers
How do I report oil&gas land rental income, if we run a family
How do I report oil&gas land rental income, if we run a family patnership on business,rental property and operate a farm as well, and the rental payment come in to just one partner my mother in this c… read more
Lev
Lev
Retired
Bachelor\u0027s Degree Equivalent
27,134 satisfied customers
I am a real estate professional. My husband and I ...
I am a real estate professional. My husband and I bought, repaired a rental property. I manage the property under a separate LLC for limited liability purposes. Do I enter expenses and income for the … read more
Lev
Lev
Retired
Bachelor\u0027s Degree Equivalent
27,134 satisfied customers
Commerical Equity Line of Credit - Interest Deduction
If I take out an equity line of credit on a commercial property in NJ, use such proceeds as a capital contribution to a new business entity in Florida which in turn invests the proceeds in Florida com… read more
Christopher Phelps
Christopher Phelps
Sole Practitioner
Master Degree
1,180 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x