Loss on sale of NYC coop apartment

[GailE]

I will be selling my NYC coop apartment this year at a loss. Can I spread the loss over more than one tax year?

[marctu]

So I am sorry to hear that you will be selling your Cooperative Apartment at a loss.   Losses on the sale of a personal residence are not deductible unless you have converted the property to a rental.  A loss on the sale of a personal residence is considered a nondeductible personal expense.  

If the property was converted to a rental or has been a rental you may deduct it as a capital loss.   If you don't have capital gains to offset the capital loss, you can use a capital loss as an offset to ordinary income, up to $3,000 per year. If you have more than $3,000, it will be carried forward to future tax years.

Thanks again for the question @GailE  

All the best,

Marc 

Employee Tax Expert