in Investing
I was reading an article in the WSJ on 0% capital gains tax for long term capital gains and qualified dividends. The Taxable income limits are 44k for singles and 89k for married filing jointly. See pic for exact amounts. The article also states I can repurchase the same tickers without invoking a wash sale. This is great!!
But I have a large capital loss carryover from decades ago. So if I take gains up to the stated amount above, they reduce my capital loss carryover. The capital loss carryover is an asset. So I am effectively not getting a 0% tax rate. Is there a way to not reduce my capital loss carryovers? I'd like to keep my capital loss carryover intact to offset future gains from real estate sales.
FYI: I am retired, 51 years old and single.
Article link:
You'll need to sign in or create an account to connect with an expert.
No, the capital loss carryover cannot be preserved to be used in a future tax year if there are capital gains that can be offset in the current year.
Ok thanks.
So I am in some form penalized for having this carry forward loss.
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
ckw-jw51
Level 2
in Investing
burgerguy14
Level 4
in Investing
mstrobel7
Returning Member
in Investing
sslwa
Returning Member
in Investing
TaxTheFish
Level 2
in Investing