Hal_Al
Level 15

Investors & landlords

Q. Can I carry this loss to 2022 so that I can deduct it from my 2022 federal income tax. 

A. Simple answer: Yes.

 

There is a place in TurboTax to enter your capital loss carry forward. TT places it on line 7 of form 1040, as a negative number.  Your entire loss carries forward, if your income was all earned income (e.g. W-2 wages) and was not enough to have to file a federal tax return*. Although it's helpful to prepare a 2021 return (whether you file it or not) to calculate the carry forward amount, it is not required. 

 

*Basically, you are allowed to use your standard or itemized deductions to reduce your taxable income before having to use your capital loss.

Technically, if your standard (or itemized) deduction is greater than your AGI, without  the capital loss, then all your capital loss is carried forward. 

https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/on-2018-i-had-0-incom...