It should be kept in mind that when computing the taxable income limitation at the individual level, the taxable income derived from the active conduct of a trade or business is determined by
aggregating the net income or loss from all of the trades or businesses actively conducted by the individual.
May Company reports the following early '93 retail leasing transactions: *700 square feet taken by the Ashione Art Gallery, at 269 West 4th Street, for a term of eight years with an initial annual rent of $31,200, and increases aggregating the total rent to $358,583.
* 700 SF taken by Sensible Edibles, a wholesale and retail bakery, at 143 Perry Street, for a term of 10 years with an initial annual rent of $21,600, and increases aggregating the total rent to $250,180.