passive

As used in law, this term means inactive; permissive; consisting in endurance or submission, rather than action; and in some connections it carries the implication of being subjected to a burden or charge.
As to passive debt
- passive negligence
- passive title
- passive trust; and passive use; see those titles
@ passive activity
A term introduced with the Tax Reform Act of 1986. A passive activity generally refers to an activity in which a taxpayer does not materially participate. An example includes an investment in a limited partnership.
See passive income
- passive loss
@ passive income
Income earned in an activity in which an individual does not materially participate. An example of "passive income" includes: income from an interest in a limited partnership in contrast to "active income" which is salaries and wages, or earnings from a trade or business. Rental income is always considered passive regardless of material participation.
See also passive loss
@ passive investment income
As defined in I.R.C. No. 1362(dX3XD), passive investment income means gross receipts from royalties, certain rents, dividends, interest, annuities, and gains from the sale or exchange of stock and securities
@ passive loss
In tax law, any loss from
(1) activities in which the taxpayer does not materially participate,
(2) rental activities (with certain exceptions for individuals who actively participate in rental activities), or
(3) tax shelter activities.
The deductibility of passive losses are limited based upon when the activity was acquired, as well as the type of activity involved. Any passive losses which are limited in the year incurred are fully deductible in the year the investment activity is disposed. Passive loss limitations were phased in beginning in 1987.
See also passive income
@

Black's law dictionary. . 1990.

Synonyms:

Look at other dictionaries:

  • passive — pas·sive / pa siv/ adj: not involving, deriving from, or requiring effort or active participation imposed a passive duty not to interfere; specif: of, relating to, or being business activity in which the investor does not have immediate control… …   Law dictionary

  • Passive — Pas sive, a. [L. passivus: cf. F. passif. See {Passion}.] 1. Not active, but acted upon; suffering or receiving impressions or influences; as, they were passive spectators, not actors in the scene. [1913 Webster] The passive air Upbore their… …   The Collaborative International Dictionary of English

  • passive — 1. The passive voice is illustrated by the sentence Brazil were beaten by France in the final, in which the object of the active verb becomes the subject of the passive verb and the subject is expressed as an agent introduced by the preposition… …   Modern English usage

  • Passive — is the opposite of active. It has several specific meanings:* Passive voice of a verb * Passivation is the formation of a non reactive surface film that inhibits further corrosion of a metal * Passive components in electronics * Passive mode in… …   Wikipedia

  • passive — [pas′iv] adj. [ME passif < L passivus < passus: see PASSION] 1. influenced or acted upon without exerting influence or acting in return; inactive, but acted upon 2. offering no opposition or resistance; submissive; yielding; patient 3.… …   English World dictionary

  • passive — (adj.) late 14c., in grammatical sense (opposed to active), from L. passivus capable of feeling or suffering, from pass , pp. stem of pati to suffer (see PASSION (Cf. passion)). Meaning not active is first recorded late 15c. Passive resistance… …   Etymology dictionary

  • passive — ► ADJECTIVE 1) accepting or allowing what happens or what others do, without active response or resistance. 2) Grammar (of verbs) in which the subject undergoes the action of the verb (e.g. they were killed as opposed to the active form he killed …   English terms dictionary

  • passive — inactive, inert, idle, supine Analogous words: impassive, phlegmatic, stolid, apathetic Antonyms: active Contrasted words: live, operative, dynamic (see ACTIVE) …   New Dictionary of Synonyms

  • passive — [adj] lifeless, inactive acquiescent, apathetic, asleep, bearing, compliant, cool, docile, enduring, flat, forbearing, going through motions*, hands off*, idle, indifferent, inert, laid back*, latent, long suffering, moony, motionless,… …   New thesaurus

  • passive — [[t]pæ̱sɪv[/t]] 1) ADJ GRADED (disapproval) If you describe someone as passive, you mean that they do not take action but instead let things happen to them. His passive attitude made things easier for me... Even passive acceptance of the regime… …   English dictionary

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