Capital loss carryover if you haven't filed in years.

[Ciridean]

I have not filed in years due to a disability. This year I am filing my 2024 taxes with capital gains income.  In prior years, I had a capital loss carryover that I did not finish using. Can I still use the remaining capital loss carryover from 2009  for my 2024 taxes? It's been $3000. per year up until I no longer filed, but still has a remaining balance to utilize. The tax expert at T.T. says NO because it gets used up every year even if you don't file. So  I would have no remaining amount because too many years have passed, and it has eroded. Seeking a second opinion. Thank-You.

[ThomasM125]

You could claim the capital loss carryover in the current year to the extent it wasn't needed to be applied to previous years. However, since you didn't file taxes in those years, you would have to have documentation supporting your contention that the loss wasn't applicable to previous years. Even if you weren't required to file a return in a prior year, you would have to reduce your capital loss carry over for the amount applicable to that year if you had filed a tax return. That would be affected by your taxable income in each year, even if it wasn't enough to require you to file a return in that year.