Instructions For Form 6198 - At-Risk Limitations

Line 12 Worksheet—Figure Your Total Losses From Years Before the Effective

Date for Which There Were Equal or Greater Amounts Not At Risk at Year End

(d)

(b)

(c)

(e)

(a)

Total amounts from

(f)

Amount of loss for

Amount not at risk at

Subtract (d) from (c)

Year

column (f) for all

Smaller of (b) or (e)

the year

end of year

prior years

Total (include on Form 6198, line 12)

For 1971, John would enter $300 in column (b), $1,000 in

Worksheet Instructions

column (c), $500 in column (d) (the total amount from column

Use the first line of the worksheet for the first year in which

(f) for all prior years), $500 in column (e), and $300 in

you had a loss and amounts not at risk. List each

column (f).

subsequent year in order.

For 1975, John would enter $500 in column (b), $1,000 in

Column (d). For each year after the first year, enter the total

column (c), $800 in column (d) (the total amount from

amount in column (f) for all prior years.

column (f) for all prior years ($500 + $300)), $200 in column

Example. John had losses in 1970, 1971, and 1975. At the

(e), and $200 in column (f). Of the $500 loss for 1975, only

end of each of those years, John had outstanding amounts

$200 is a loss for which there was an equal or greater

not at risk of $1,000. John had losses of $500 in 1970, $300

amount not at risk at year end.

in 1971, and $500 in 1975.

John’s total loss from years before the effective date for

For 1970, John would enter $500 in column (b), $1,000 in

which there were equal or greater amounts not at risk at year

column (c), $1,000 in column (e), and $500 in column (f).

end is $1,000 (the total of the amounts in column (f)).

Instructions For Form 6198 - At-Risk Limitations - 1998 Page 5