Capital Loss Carry Over as Dependent

[Oldcat]

I am an adult over 24 years old with capital loss of $10K from 2022 and prior years.

I have interest/dividend income of $2900.

I will file on my own taxes for the capital loss carryover. However, I qualify as a relative dependent based on the relationship test.

Questions are:

1. If I filed as Single, I had a refund of $300 from the marketplace insurance. As a dependent, the refund is $0. Will this be added to my parents’ return?
2. Does the capital loss $3K carryover still auto apply if it exceeds income or if the incomes is $0?

Thank you!

[Mike9241]

 as a dependent, the parent(s) claiming you is the one responsible for reconciling the premium tax credits on their return. you report nothing.

capital loss carryforward the long way

Adjusted gross income -100 (2900-3000) (limitation on capital loss deduction in any one year)

standard deduction  no earned income 1150

taxable income -1250

capital loss 3000

taxable income adding back capital loss 1750

gross capital loss 10000

carryforward 10000 - 1750 = 8250

shortcut

dividend and interest income 2900

less standard deduction  1150

net 1750 = capital loss used (to get taxable income to zero) 

so c/f 8250

[Oldcat]

This is very helpful. Thank you. 🙂