I have a 120k LT cap loss in 2018, don't have LT cap gain to offset. if I sell stock in 2019&realize 130k gain, can I offset entire 130k against carryover loss in 2019

[Critter · Accepted solution]

Yes ...that is exactly how it works...gains & losses net each other out .

[Hal_Al]

$120,000 loss in 2018 minus the $3000 you can (and must) deduct against ordinary income = $117K carry over to 2019.

$130K gain in 2019 minus 117K carryover loss = 13K capital gain on your 2019 return.

[sandywong21]

THANKS!! VERY HELPFUL and I can breathe easier now after your response