Cap losses on Wisconsin return if not carried over from 2022 return to 2023 return

[TomG1]

Hi KrisD15- 

Thanks for your comments.   This is a follow up to your comments. 

According to your comments,  the cap losses for 2022 were lost for filing the 2023 Wisconsin return.  

Can I ever carryover these cap losses on the Wisconsin state return?  

[KrisD15]

I was not clear, 

the loss can continue to carry-forward. 

The 500 limit has been increased to 3,000 starting on the 2023 tax year. 

I am not clear on your question concerning tax year 2023, did you claim loss on the 2023 state return?

If not, is that what you are wanting to do?

In TurboTax, there is a screen in the Wisconsin state section to enter loss carry-over. 

[TomG1]

Hi Again KrisD15 -

My 2023 Wisconsin schedule WD did not report carryover (from 2022).  So can I amend this to continue to use the carryover going forward? 

[KrisD15]

Yes, if the carry-over did not show on the 2023 tax year Wisconsin return, you'll need to amend the state return for that.

HERE is a link to a similar question about amending for capital loss.

HERE is a link to a similar question about entering capital loss on a Wisconsin return. 

[TomG1]

KrisD15-  thank you for your information.  Just to follow-up, some questions:

1.     If I amend the Wisconsin 2023 tax return to reflect (correctly) the cap loss carryover, will I need to amend the 2023 Fed return (it appears to have carried over correctly this cap loss)? 

2.    Will amending the Wisconsin 2023 tax return prompt an tax audit?

3.  Finally,  I've been good in entering all my data in TurboTax - for years - I've never experienced and issue like this.  Have there been other situations like this in TurboTax? 

Thank you again for your assistance

[BrittanyS]

You will not need to amend your Federal return if the carryover is correct on your Federal return.  The amendment will not prompt an audit.  Typcially you will see an audit triggered if there is missing or excluded income on the return or if information does not appear to be correct.  I personally haven't seen many issues like this in TurboTax so I am not certain as to why the carryover worked for the Federal return but not for Wisconsin.

@TomG1