It now looks as if I'll have a net capital loss of $8,000 this year.
In previous years, I paid taxes on cap gains.
I'm aware of the $3,000 limitation. But do I go backward, or forward.
I guess I can count on Turbo Tax to handle this problem automatically -- can I?
Only forward. (NOL can carry backwards, also corporations may be able to carry back a capital loss, but not individuals.)
Steve
"Ray" wrote
Capital losses are carried forward only.
I am not aware of any provision in any Obama plan that would allow capital losses to be carried back. So don't expect things to change on at least that tax front. And really, it's more likely that capital gains will go up in the future, so who would want to carry losses back to a lower tax bracket year instead of carrying them forward to offset gains that most likely will be taxed at a higher rate?
The Republican presidential platform asked to increase to the $3000 to $15000. Increases have been mentioned several times. Dems aren't interested in this, but may need a compromise in the future.
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