@heather64 yes, you ALWAYS net the gains and the losses..... if that net is positive, any tax is only on the NET of the gains and losses.
<<Example: $30K taxable federal income. Pretend I sell stock A for $20,000 (with a $10,000 GAIN), AND, I also sell stock B for $20,000 (but, with a $10,000 LOSS).
While I sold and cashed out $40,000 total, my total gain in this example is $0, so wouldn't my NC tax be $0? (For NC taxable income, wouldn't the loss be deducted from the gain, leaving me with $0 in income to be taxed?)>>
Correct, both the Federal Capital gains TAX and the NC TAX would be zero!
Just to be technical, for NC taxable income, the loss would have already been deducted from the gain as part of the calculation of the federal income (line 11); there would be nothing to do on the NC tax return.
