Can I offset my stock trading loss against my rental income?

[wendyle1993]

For my stock long-term stock trading loss, does it offset first against my rental property rent income then against my ordinary income up to $3,000? Thanks!

[rjs · Accepted solution]

Capital losses first offset capital gains. The remaining loss offsets up to $3,000 of all other income, other than capital gain. Rental income is included in all other income (which you are calling "ordinary income"). It is not a separate category of income as far as applying capital losses is concerned.