rental loss

[TAX4US]

In looking at a 2012 filed return, the rental loss on sch e was about 36K. However in checking form 8582 I found the entire loss being allowed as CPA included gains from 6252 that were reported on the form 4797 from previous sale of another rental. I cannot ascertain if this position is correct. What would you say?

[Matt Sova]

Yes

6252 gains from previous rental properties maintain their passive rental status.

[Nashville]

Let it go

Sova is correct about the characterization of the 6252. Unless you are prepared to delve into the distant past (distant defined as being beyond the SOL), why can you not just simply let this go and be the responsibility of the 2012 preparer?

Is there a reason that doing an amended return on 2012 would benefit your client? The existence of a beginning balance in disallowed losses assures you that history older than 2012 would have to be analyzed to validate this beginning balance. Older than 2012 means out of 3-yr statute.

[TAX4US]

the only reason I am looking at it is TP did not file 2013,2014. Old CPA died and TP didn't file until bank ask for and tp thought cpa had filed them. I have all the paper work to try and do these along with the 2015 returns. some information I do not have because heirs destroyed most of papers.

[mactoolsix]

the only reason I am looking at it is TP did not file 2013,2014. Old CPA died and TP didn't file until bank ask for and tp thought cpa had filed them. I have all the paper work to try and do these along with the 2015 returns. some information I do not have because heirs destroyed most of papers.

Who died - the taxpayer or his CPA?
If the CPA died, did the taxpayer not find another CPA for the next years?

How did the tp think the CPA filed his taxes without him signing them?