When it comes to taxes, the difference between passive and nonpassive income is more than just terminology. The IRS treats these two categories very differently, and understanding the distinction can ...

Several abusive tax shelters in the 1970s and 1980s caused Congress to enact rules to prevent taxpayers from deducting losses when a taxpayer doesn’t materially participate in the activity. These ...

Question: My husband and I are in a high tax bracket and are looking at buying a couple of rental properties to lower our tax bill. Our understanding is that we can depreciate the properties and ...