The loan is a non-business bad debt and can be entered in the Deductions and Credits section of TurboTax under Other Deductions and Credits, and then Nonbusiness Bad Debt.
The capital you lost in the investment is a loss on investment, so you enter it as an investment sale, by reporting the sales proceeds as -0- and the cost basis as the amount of money you invested that you didn't recover.
Follow these steps to enter your investment sales in TurboTax:
While in the Federal section of TurboTax:
1. Income and Expenses
2. Investment Income
3. Stocks, Cryptocurrency, Mutual Funds, Bonds, Other (1099-B)
Choose the category of investment you want to enter and follow the instructions to enter your investment sale.
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