Form 8582: Passive Activity Reporting and Impact of 3.8% Medicare Tax

Tackling Complex Passive Activity Computations; Navigating Income Tax and AMT Reporting Challenges

Recording of a 110-minute CPE/CLE webinar with Q&A

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Conducted on Wednesday, November 19, 2014

Recorded event now available

or call 1-800-926-7926
Course Materials

This course will update tax advisors and return preparers on the key challenges and practical solutions for accurately preparing Form 8582. The panel will provide guidance and rules to minimize the impact of the 3.8% surtax and maximize permissible use of passive losses.


Tax advisors and preparers are often stymied in accurately reporting decisions and passive loss computations on Form 8582, partially due to the complex calculations involved, which are required for both regular and AMT taxes.

While the rules for the new 3.8% federal investment income surtax add complexity, advisors also have opportunities to minimize the impact, including a provision for a one-time regrouping of passive activities. Reporting professionals must understand how to take advantage of these options.

Our panel will provide you with a drill-down on the passive activity rules coupled with lessons from their own experiences and best practices. The panel’s insights will guide you to avoid potential traps, minimize the tax consequences, and maximize the tax benefits.

Listen as our panel of veteran advisors offers compliance strategies for properly completing Form 8582, minimizing the bite of the Medicare surtax, and maximizing deductions within passive activity loss limitations.



  1. Overview of federal passive activity rules
    1. Material participation
    2. 469 exception
    3. Real estate
  2. Form 8582
    1. Filling out the forms
    2. Compliance best practices
  3. Latest developments
    1. New 3.8% Medicare surtax
    2. New procedures for late elections


The panel will explore such topics as:

  • Completing Form 8582—and the key computations to arrive at correct data.
  • Avoiding common errors in completing Form 8582 for clients.
  • Taking advantage of opportunities with the new 3.8% Medicare surtax for taxpayers utilizing passive activities—and what tax advisors and preparers should do now.
  • Regrouping activities to potentially meet the material participation standards for non-passive activity.


Dumaual, Albert
Albert Dumaual

Capell Barnett Matalon & Schoenfeld

Mr. Dumaual’s areas of practice focus primarily on tax and estate planning. He received his LL.M. in...  |  Read More

Damien R. Martin
Damien R. Martin
Senior Manager

Mr. Martin’s areas of expertise include tax preparation and consultation for closely-held corporations and their...  |  Read More

Douglas N. Rubenstein
Douglas N. Rubenstein

Katz Sapper & Miller

With over 20 years of experience, Mr. Rubenstein is a Director in the firm's Tax Department and Real Estate...  |  Read More

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