- 3 - Part I. Total Investment Interest Expense Line 1. Investment interest expense paid or accrued in 1999 $63,807 Line 2. Disallowed investment interest expense from 1998 Form 4952, line 7 --- Line 3. Total investment interest expense 63,807 Part II. Net Investment Income Line 4a. Gross income from property held for investment (excluding any net gain from the disposition of property held for investment) 31,215 Line 4b. Net gain from the disposition of property held for investment $ --- Line 4c. Net capital gain from the disposition of property held for investment --- Line 4d. Subtract line 4c from line 4b --- Line 4e. Enter all or part of the amount on line 4c that you elect to include in investment income --- Line 4f. Investment Income. Add lines 4a, 4d, and 4e. 31,215 Line 5. Investment expenses --- Line 6. Net investment income. Subtract line 5 from line 4f. 31,215 Part III. Investment Interest Expense Deduction Line 7. Disallowed investment interest expense to be carried forward to 2000. Subtract line 6 from line 3. 32,592 Line 8. Investment interest expense deduction. Enter the smaller of line 3 or 6. 31,215 Petitioners timely filed their Form 1040 for the taxable year 2000. Petitioners attached to their return Schedule A and claimed an investment interest expense deduction of $43,271. Petitioners calculated this amount on an attached Form 4952 as shown below:Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Next
Last modified: May 25, 2011