Hi, If you have a 1256 contract loss in 2020 and there were NO years in the previous 3 years to carry back too that had a 1256 gain?
1. How many years could you carry a 50k loss forward? Is there a limited number of years carry forward for 1256 contracts for the loss carry forward? The wording is a little tricky like it might be 1 year or limited.
2. Can it be offset 60/40 on the normal 3000 capital gains loss?
3. Can 1256 losses be offset with regular stock gains (non 1256) on 1256 carry forwards or only 1256 gains and is the 3000 yearly loss an exception to this?
* I really appreciate the clarifications. Carry backs are confusing but the wording of the carry forward is not written very clearly beyond year 1 for 1256 contracts and I don't see many google hits on it. This is a very nice thread with good discussion.
