Passive Income Generator

Passive Income Generator means:
a business or investment that produces passive activity income that can be used to offset passive activity losses.

Example of Passive Income Generator:

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Perry owns rental real estate that provides a tax loss, which may be offset by passive income, but not by active income or portfolio income. Without a passive income generator to offset the loss, the loss will be carried forward in a suspense account, to be released when the property earns income or is sold at a gain.