"It's great!" enthused Linda Goold, tax counsel for the National Association of Realtors, when asked about the passive loss provision in the Revenue Act of 1992 (H.R. 11). "It gets us to the same place as the Andrews/ Thomas bill, but in a more efficient way."

If the bill finally makes it into law, it will mark the successful completion of a six-year struggle by real estate investors to get relief from the strict provisions of the Tax Reform Act of 1986, which essentially barred deductions for losses from real estate even if the taxpayer was actively involved in the business.

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