Answer:
$2,600.
Explanation:
Considering the available information given the in the question, we have:
Larry’s tax basis is $24,000
His at-risk amount is $24,000.
Consequently, the basis and at-risk hurdles are not considered.
On the other hand, given that Larry still may not deduct $2,600 of the $3,750 loss because he only has $2,600 of passive income for the year.
Hence, Larry has a $2,600 passive activity loss carryover.
Therefore, the Deductible Loss is $2,600.
