Specific — Instruction 8810 — Instructions for Form

Note. Complete Worksheets 1 and 2 before completing Form 8810, Part I.

Worksheet 1 Use Worksheet 1 to figure the total current year income, gains, deductions, and losses for each passive activity.

Lines 1 through 4. Enter on these lines the gross receipts and other income from passive activities and passive activity gains reported on Schedule D (Form 1120), Capital Gains and Losses, and Form 8949, Sales and Other Dispositions

Instructions for Form 8810 (2025) 7

of Capital Assets, as applicable, and Form 4797, Sales of Business Property.

Line 5. Enter total income on this line and in Worksheet 2, column (a).

Lines 6a through 6l. Enter passive activity deductions.

Lines 8 and 9. Enter on line 8 losses from passive activities reported on Schedule D (Form 1120) and Form 8949, as applicable. Enter on line 9 losses from passive activities reported on Form 4797.

Line 10. Enter total deductions and losses on this line and in Worksheet 2, column (b).

Gross receipts, gains from the sale of business assets, capital gains, and other passive income should also be entered on the forms and schedules normally used. Allowable passive activity deductions and losses are entered on the forms and schedules after Form 8810 is completed and the deductions and losses are allocated to the activities.

Worksheet 2

Columns (a) and (b). Enter in column (a) the total income for the current year shown on Worksheet 1, line 5. Enter in column (b) the total deductions and losses shown on Worksheet 1, line 10.

Column (c). Enter the prior year unallowed losses from Worksheet 4, column (c), located in the 2024 Instructions for Form 8810.

Totals. Enter the totals from Worksheet 2, columns (a), (b), and (c), on Form 8810, lines 1a, 1b, and 1c, respectively.

Columns (d) and (e). Combine income, deductions, and losses in columns (a) through (c) for each activity. Enter any overall gain in column (d) or any overall loss in column (e). Do not enter the amounts from columns (d) and (e) on Form 8810. These amounts will be used when Form 8810 is completed to figure the loss allowed for the current year.