Tax Loss Question Carryover Question Pls

[mau3535]

Stock A –  Short position sold in 2023, $5000 profit

Stock B – Long position sold in 2023, $11,000 Loss

For tax purposes, is it considered a  $6K loss  for the year  or is the loss limited to $3K for the 2024 tax year

Thank you

[Bsch4477]

$3,000 deducted  from income and $3,000 loss carried over. 

[mau3535]

Thank you

When can you deduct the full (more than $3k) loss of a stock in the same year?

[Bsch4477]

The maximum amount deducted from income is $3,000.  The rest is carried over until all used up.