@M-MTax wrote:
@Opus 17 wrote:
If you are not a schedule C self-employed investor, then your gains and losses are reported on schedule D as with any other capital gains and losses.
Gains and losses from digital assets and other securities are never reported on Schedule C unless the taxpayer is a dealer thereof (where the assets/securities exchanged are treated as inventory).
There are only three categories: Investors, Traders, and Dealers. Those who qualify as "traders", generally report trades on Form 8949 (or Form 4797 with an MTM election); only relevant and related expenses are reported on Schedule C.
If someone is a trader, can they deduct capital losses in excess of $3000 or is that still the limit?
