@steiny1227 wrote:
....I almost get to double count in a sense.
You do not, actually, get to double count. Your Long-term capital loss offsets your short-term capital gain first, which then leaves you with a net capital gain from the short-term gain that was not offset. This net gain can then be used to offset your investment interest expense.
For example: A $10,000 long-term capital loss with a $15,000 short-term capital gain would leave a net capital gain of $5,000 which could be used to offset up to $5,000 in investment interest expenses.
