I have over $10,000 in crypto loss. It says I have $3684 capital loss carryover from 2023, and $0 in capital losses used in 2024, and $10,341 remaining losses carried forward to 2025. When i was entered my crypto investments with csv file I get from koinly, it said I was allowed to deduct $3000 in deductions against my income this year, but turbo tax didn't apply it. How do I apply it? Also my income is self-employment income, not from a job. thanks
Capital loss carry-over (if used) is listed on your 1040 line 7
Self-Employment income is reported on Schedule 1 and flows to your 1040 line 8
The loss will not lower the self-employment income.
On turbotax self employed version it says:
Has the $3,000 already been deducted on line 21 of the Schedule D?
The $3,000 loss would also be reported on line 7 of the Federal 1040 income tax return.