How much in capital losses from previous years can be used to offset any capital gains for this year? Where in tax forms is this loss? This regarding selling stocks.

[tagteam]

"How much in capital losses from previous years can be used to offset any capital gains for this year?"

Schedule D is where you can find the figures you are looking for, and also there should be a Capital Loss Carryforward Worksheet if you used TurboTax for the last tax year.

The amount of capital losses you can use to offset capital gains is only limited by the amount of capital gains (e.g., $50,000 in capital losses can be used to entirely offset $40,000 in capital gains - an additional $3,000 of the remaining loss can then be used to offset other income with the $7,000 balance being carried forward).

[VolvoGirl]

You get to first offset the loss against any gains you have each year so that can use more of it up.  Then after applying the loss to the current gains you can take a max loss of 3,000 (1,500 MFS)per year.  Turbo Tax does all the calculations for you.  Just enter the prior year carryover amount.

If you transferred your prior return it should be already filled in.

FYI.....The 2018 column shows the carryover to 2019 not your current loss for 2018.  And Schedule D doesn't actually show the carryover amount. To find your Capital Loss Carryover amount you need to look at your return schedule D page 2.  Line 16 will be your total loss and line 21 should be a max loss of 3,000.  The difference between line 16 and 21 is the carryover loss for next year.

There is also a Carryover Worksheet. There is a Capital Loss Carryover Worksheet showing the carryover from the prior year and the current amounts.  Then there is also the Capital Loss Carry Forward worksheet showing the amount transferring over to next year.

In the Online version you have to save your return with all the worksheet as a pdf file to your computer to see the Capital Loss Carry Over and Carry Forward worksheets.

In the Desktop program you can go to Forms and find it in the list in the left column.

[VolvoGirl]

Oh do you need to know where to enter it?  If you used Turbo Tax last year and transferred it into this year it should already be there.

Enter a Capital Loss Carryover under

Federal Taxes or Personal (Home & Business)

Wages and Income

Then scroll down to Investment Income

Capital Loss Carryovers - Click the Start or Update button

It's now on the new Schedule 1 line 13 which goes to 1040 line 6.