At-risk activities overview

The application automatically combines information you enter throughout the return and determines the allowed losses for an activity. It reports at-risk activity amounts on Form 4835, Schedule F, Page 1, and the Rent and Royalty Worksheet. In addition, adjustment amounts are calculated and transferred to Schedule D or Form 4797.
The application reports recapture at-risk amounts on Form 1120, line 10, Other income and reports alternative minimum tax loss limitation adjustments on Form 4626.
The application produces non-submittable worksheets to support at-risk activities. If the losses from the activity are limited by at-risk rules, the At-Risk Limitation Worksheet, the Oil & Gas At-Risk Limitation Worksheet, the Schedule F At-Risk Limitation Worksheet, the Farm Rental At-Risk Limitation Worksheet, and the Rent and Royalty At-Risk Limitation Worksheet provide a detailed audit trail showing the loss allowed and disallowed by each income and deduction type.

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