Aria purchased a 30% interest in Market, LLC on January 1, 2012 for $100,000. Aria materially participates in Market, LLC. She has lent no funds to Market, LLC.
In 2012, Market, LLC reported a loss of $360,000. Aria contributed an additional $10,000 to Market, LLC on December 31, 2012.
In 2013, Market, LLC reported ordinary business income of $120,000 and a Sec 179 deduction of $30,000. In addition, Aria received a distribution of $5,000.
1. What amount of loss from Market, LLC is Aria able to deduct on her individual tax return in 2012?
2. What is Aria's basis in her investment in Market, LLC at the end of 2012?
3. What is Aria's at-risk carryover at the end of 2012?
4. What is Aria's taxable income reported on her individual tax return in 2013?
5. What is Aria's basis in her investment in Market, LLC at the end of 2013?