8611. How do the passive loss rules interact with the at-risk rules?cjumprcline202014-07-07T22:11:00Z2014-07-07T22:11:00Z180456National Underwriter31535148611. How do the passive loss rules interact with the at-risk rules?When determining whether a loss deduction will be allowed, the taxpayer must first apply the at-risk rules. If a deduction is disallowed in one year under the at-risk rules (see Q 8597 to Q 8602), it generally cannot be deducted as a loss under the passive activity rules..Temp. Treas. Reg. §1.469-2T(d)(6)(i). Therefore, the loss will be suspended under the at-risk rules, and can be carried forward to the succeeding tax year if the taxpayer has sufficient amounts “at risk” in that later tax year.