26 U.S.C. § 58 - U.S. Code - Unannotated Title 26. Internal Revenue Code § 58. Denial of certain losses

(1) In general.--For purposes of computing the amount of the alternative minimum taxable income for any taxable year of a taxpayer other than a corporation--

(2) Tax shelter farm activity.--For purposes of this subsection, the term “tax shelter farm activity” means--

(3) Application to personal service corporations.--For purposes of paragraph (1), a personal service corporation (within the meaning of section 469(j)(2)) shall be treated as a taxpayer other than a corporation.

(4) Determination of loss.--In determining the amount of the loss from any tax shelter farm activity, the adjustments of sections 56 and 57 shall apply.

(1) the adjustments of sections 56 and 57 shall apply, and

(2) in lieu of applying section 469(j)(7), the passive activity loss of a taxpayer shall be computed without regard to qualified housing interest (as defined in section 56(e)).

[(3) Redesignated (2)]

(1) Special rule for insolvent taxpayers.--

(2) Loss allowed for year of disposition of farm shelter activity.--If the taxpayer disposes of his entire interest in any tax shelter farm activity during any taxable year, the amount of the loss attributable to such activity (determined after carryovers under subsection (a)(1)(B)) shall (to the extent otherwise allowable) be allowed for such taxable year in computing alternative minimum taxable income and not treated as a loss from a tax shelter farm activity.