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Level 2
posted Jun 5, 2019 4:47:12 PM

If i have both short term and long term excess losses, do I have to allocate either loss first in my $3000 deduction against income? Is it Pro Rata? Does it matter?

My 2016 taxes had a short term capital loss of less than $3000 and a long term capital loss of more than $3000.  Can I allocate the $3000 which went against income to the long term portion of my losses and carry over the short term portion?

0 1 3611
1 Replies
Level 9
Jun 5, 2019 4:47:13 PM

Short term is used first.  Here is the worksheet:

https://www.irs.gov/pub/irs-prior/i1040sd--2017.pdf#page=11