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Gloria owns and works fulltime at a shop that rets wasrafts of various tuoes to tourists...

Gloria owns and works fulltime at a shop that rets wasrafts of various tuoes to tourists who are vacationing at the beach. If she generates a loss from that activivities the loss is subject to the passive activities loss rules because it is rental property
True or False?
why
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Answer #1

False. A passive activity is an activity which is not done primarily, it's secondary or ancillary activity. In the above case, Gloria is primarily involved in the business of renting of a product. Therefore, it's not a passive activity loss.

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