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LSDefine

Simple English definitions for legal terms

passive activity

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A quick definition of passive activity:

Passive activity refers to a type of business activity where the person who owns it does not actively participate in it. This means they do not have immediate control over the income that comes from it. A common example of passive activity is when someone owns a property and rents it out, but they are not in the business of buying and selling properties.

A more thorough explanation:

Definition: Passive activity refers to a business activity in which the taxpayer does not actively participate and therefore does not have immediate control over the income.

For example, if someone owns a rental property but is not actively involved in managing it, then the income generated from that property is considered a passive activity. This is because the owner is not actively participating in the day-to-day operations of the rental property.

Another example of a passive activity is investing in stocks or mutual funds. The investor does not have any control over the management of the company or fund, and therefore the income generated from these investments is considered passive.

These examples illustrate the definition of passive activity because in both cases, the taxpayer is not actively involved in the business activity and does not have immediate control over the income generated from that activity.

passing on | passive adoption-registry statute

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medicine is a scam
join the ethically ambiguous legal field instead
Dkk
18:57
I want to meet an attorney that defends clients who run into flat earth problems. I want an attorney that knows and believes in flat earth theory.
19:05
i want a flat earther for president. i want a guy who posts on 4chan for president. i want someone who mogs for president.
Dkk
19:18
Exactly. My version of that awful poem.
Dkk
19:19
I can accept a president with maybe one or two of the poems traits hut good God, all of them??? No ty.
windyMagician
19:20
president who respects sex is crazy
windyMagician
19:20
we had bill clinton already
Dkk
19:21
Bill Clinton, first and last black president
windyMagician
19:23
I want to go running but my leg feels weird
windyMagician
19:23
it doesn't hurt its just tingly
Dkk
19:26
It needs more alcohol. You tingle when your nerves need watering.
19:27
try stretching it maybe to see what's up
windyMagician
19:27
stretches make me think it's just soreness
windyMagician
19:27
I'm sober lol
Dkk
19:38
Anyone else get the google notification that your LSD password has been compromised lol. LSD got hacked.
20:48
what.jpg @Dkk
CynicalOops
21:03
You think you just fell out of a coconut tree?
jackfrost11770
21:10
nope dk
CynicalOops
22:37
Calvinamala Harris
jackfrost11770
23:16
should i start using letterboxed again
Dkk
23:25
@jackfrost11770: if you want but like it aint for me
dk do u ever eat at bk
Dkk
23:48
@chickenburgahfart: I would do that in the Army if really desperate for food or if I had to work through lunch. One of the few fast food places I go to.
bk so slept on
Dkk
0:23
I will take In N Out everyday over it when I can though.
texaslawhopefully
1:22
In N Out is not only the best fast food place, but the prices too are fantastic
Dkk
1:27
Indeed, indeed.
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