topic Incorrect AMT Capital Loss Carryover in Investors & landlords

Incorrect AMT Capital Loss Carryover

StockOperator — Mon, 09 Mar 2026 08:50:36 GMT

When I imported data from my stock broker, the taxes due more than doubled. Upon further investigation I've noticed that I have to pay AMT. I have capital gains in 2021 and capital loss carryover from 2020 which will offset those gains.

I've started doing research and found this link

https://fairmark.com/general-taxation/alternative-minimum-tax/amt-capital-loss-trap/

If not for the information provided in that website I would have wasted many hours trying to figure out capital loss carryover and AMT

Coming back to the problem in TT, the "Net AMT short-term capital gain/loss" is completely different from "Net short-term capital gain/loss" for year 2020.

For reference if my 2020 "Net short-term capital gain/loss" is -50,000, "Net AMT short-term capital gain/loss" is showing as 130,000. I assume this incorrect amount triggered AMT. However "Net long-term capital gain/loss" and "Net AMT long-term capital gain/loss" from 2020 is exactly the same.

There is no way to find out how TT calculated a different "Net AMT short-term capital gain/loss" amount as I don't have Schedule D AMT in 2020 and all my losses are from simple stock and option trades.

I believe this is a bug in the software. Tax filers unaware of this end up paying thousands in additional taxes.

It will be really helpful if TT keep the "Net AMT short-term capital gain/loss" field blank if it can't find a schedule D AMT from previous year and let the user enter the amount.

Question: Can I correct the "Net AMT short-term capital gain/loss" to reflect the carryover loss from 2020?

Re: Incorrect AMT Capital Loss Carryover

GeorgeM777 — Tue, 08 Mar 2022 21:41:29 GMT

Yes, if you are using TurboTax online you can make adjustments to your prior year AMT carryover losses by following these steps.

From the Income & Expense page, scroll down to Capital Loss Carryover
Click Edit, and the next page will display the following, Here's what we have for you.
Click Edit again and make the adjustments you feel need to be made.

If you are using TurboTax desktop, the process is essentially the same. In the Investment Income section, select Capital Loss Carryover and respond to the questions on the pages that follow.

@AJ_S21

Re: Incorrect AMT Capital Loss Carryover

GeorgeM777 — Tue, 08 Mar 2022 21:43:43 GMT

Yes, if you are using TurboTax online you can make adjustments to your prior year AMT carryover losses by following these steps.

From the Income & Expense page, scroll down to Capital Loss Carryover
Click Edit, and the next page will display the following, Here's what we have for you.
Click Edit again and make the adjustments you feel need to be made.

If you are using TurboTax desktop, the process is essentially the same. In the Investment Income section, select Capital Loss Carryover and respond to the questions on the pages that follow.

@AJ_S21

Re: Incorrect AMT Capital Loss Carryover

StockOperator — Tue, 08 Mar 2022 22:12:17 GMT

Thank you for your response, but I don't have AMT carryover loss from prior year (2020) to adjust. I have a regular (if you can call that) carryover loss from 2020.

AMT has been triggered for 2021 when I entered short term profits for 2021 even when I have a greater regular carryover loss (from 2020).

Instead of bringing the regular carryover loss as it is from 2020, TT is showing a positive number in the field "Net AMT short-term capital gain/loss" which I believe is triggering the AMT. My question is with a straightforward carryover loss from last year which is more than the profit I made this year, why is AMT triggered?

Re: Incorrect AMT Capital Loss Carryover

GeorgeM777 — Tue, 08 Mar 2022 23:38:11 GMT

AMT should not be triggered if the 2020 carryover losses offset your gains from 2021. In TurboTax online, your 2020 Net AMT short-term capital loss should be reflected as a negative number. In contrast, in TurboTax desktop, losses of this type are usually entered as positive numbers.

If your 2020 net AMT short-term capital loss is incorrect, were you able to edit your 2020 capital loss information to reflect the correct amount of capital loss?

@StockOperator

Re: Incorrect AMT Capital Loss Carryover

StockOperator — Wed, 09 Mar 2022 04:12:58 GMT

"If your 2020 net AMT short-term capital loss is incorrect, were you able to edit your 2020 capital loss information to reflect the correct amount of capital loss? "

Yes, I was able to change the AMT short-term carryover loss. After I made it same as my 2020 capital loss carryover, AMT is no longer applicable.

I'm using TT online. I still can't figure out how the AMT carryover loss carryover is shown positive and almost twice my 2020 carryover loss amount. Below is the screenshot of the discrepancy (Modified the actual numbers) My original question is how did TT arrive at the number shown in red?

Re: Incorrect AMT Capital Loss Carryover

DougSend2 — Fri, 25 Mar 2022 04:36:10 GMT

Yes, I actually ran into this same issue. I had a very large capital loss carryover, then for 2021 I had a very large capital gain. I almost fell out of my chair when TT calculated my AMT. I was sitting there thinking this has to be wrong. I am only able to take the standard deduction, yet my tax due increased by about $45,000! After hours of trying to figure this out, I also found the article you referenced and then your post. Fortunately I was able to bring up my equivalent forms for 2020 to help verify how it should be. TT seems to just grab a number out of thin air....I have no idea how it came up with that. After more research I found where to fix it. I have been trusting TT for many years but now there are serious questions in my head if TT can be trusted. I consider this a very serious error in their software. Not only did they issue the software with this problem, they also have not yet patched it. This is very irresponsible conduct. If I ever see a problem anywhere near like this again with TT, it will probably be time for me to try someone else's software.

Re: Incorrect AMT Capital Loss Carryover

wyao — Fri, 15 Apr 2022 21:04:20 GMT

I run into exactly the same issue, here is how I fixed it:

From the Income & Expense page, scroll down to Capital Loss Carryover
Click Edit, and the next page will display the following, Here's what we have for you.
Click Edit again and the next page will display: Great, we'll guide you, starting with some info from your 2020 tax return
Click Continue you arrives at the page displaying: You probably don't, but we have to ask—do you have different carryover amounts for AMT?
Chose Yes, I did (This is uncommon.) and then click on Continue
Now you can edit/correct your AMT capital loss carryover on the page displaying: In that case, let's get some info about your AMT

Re: Incorrect AMT Capital Loss Carryover

mdili-aol-com — Sun, 24 Jul 2022 20:51:35 GMT

Your post is very helpful but in my case, Turbo tax failed to interview me about prior year (2020) capital loss carryover nor prepared a capital loss carryover schedule D for tax year 2021. My first time using Turbo tax and naively believed their motto "100% Accurate Calculations Guarantee". Any ideas how to amend this mistake? Thanks very much.

Re: Incorrect AMT Capital Loss Carryover

Calitax6 — Sun, 08 Jan 2023 21:33:37 GMT

This issue is still not fixed. In Turbo Tax 2021 the Capital Loss Carryforward Worksheet states I have Short Term Loss Carryforward of X and Long Term Loss Carryforward of Y. In TurboTax 2022, for no discernible reason, these numbers are changed to 0 for the Short Term Loss, while for the Long Term Loss and picks the Capital Gains Distribution number from line 13 on my 2021 Schedule D (instead of line 15).

The link you found was also what turned me on to this - other than not wanting to believe AMT is that evil.

I reentered the numbers manually on the 2022 Capital Loss Carryover Worksheet - lines A and B at the top - and presto : no more AMT. So, I think it worked.

Intuit needs to fix this ! It can cost people thousands of dollars.

Re: Incorrect AMT Capital Loss Carryover

David55NN — Thu, 23 Feb 2023 18:45:46 GMT

I believe there is an issue with the 2022 Turbotax Premier software importing the wrong lines/values from the 2021 Schedule D:

https://ttlc.intuit.com/community/taxes/discussion/2022-schedule-d-capital-loss-carryover-worksheet-lines-6-and-14-imports-incorrect-2021-s-for-amt/00/2880960

Posting this here in case this thread remains active, as the other thread has had no response.

Re: Incorrect AMT Capital Loss Carryover

BrittanyS — Wed, 01 Mar 2023 22:13:22 GMT

As David55NN stated, this is a known issue that is being worked on by TurboTax. You can sign up for updates using the link below:

Why isn't my Capital Loss Carrying Over?

@StockOperator

Re: Incorrect AMT Capital Loss Carryover

Lukas13 — Fri, 03 Mar 2023 23:06:29 GMT

@BrittanyS Can you send a new link. The previous one no longer exist.

Re: Incorrect AMT Capital Loss Carryover

MichelleLO — Fri, 10 Mar 2023 18:13:47 GMT

If the link provided no longer works that means that the issue has been resolved.

@Lukas13

Re: Incorrect AMT Capital Loss Carryover

ishmayel — Sat, 11 Mar 2023 22:03:28 GMT

Using TT Premier desktop, just about to start filing returns, when I noticed something strange about capital loss carryover and capital loss carry forward? Have just started looking into this, when I came upon this conversation. It seems that the capital loss carryover/carry forward issue is NOT resolved. I will need to look at past returns to see if/when a discrepancy turned up.

Re: Incorrect AMT Capital Loss Carryover

David55NN — Sat, 11 Mar 2023 22:17:56 GMT

Hi @ishmayel , could you see the following thread, where myself and some other folks seem to think it's resolved:

https://ttlc.intuit.com/community/taxes/discussion/2022-schedule-d-capital-loss-carryover-worksheet-lines-6-and-14-imports-incorrect-2021-s-for-amt/00/2880960

I think mine is okay, but it would be important to hear otherwise.

If you wanted to continue the above thread and be more specific about the issue you're seeing, the Turbotax staff and others might be able to help.

Re: Incorrect AMT Capital Loss Carryover

ishmayel — Sat, 11 Mar 2023 22:29:52 GMT

Hi, thanks for your reply. I will try to see what I've got, and am confused about why I'm also seeing AMT calculations when I'm never subject to AMT. I've never even considered carryover vs. carry forward??? Usually, I've trusted TT, but maybe I just haven't been paying attention.

Here in central California I've got rain and flooding to contend with, so it may be a couple days before I can look at the link and get this capital loss carryover issue clear.

Re: Incorrect AMT Capital Loss Carryover

ishmayel — Mon, 13 Mar 2023 19:55:08 GMT

On my returns, I have never had AMT triggered. However, every year back to at least 2019, shows marked differences between the numbers for "regular" taxes and for "AMT". But, it looks like TT is pulling the correct data to generate the capital loss carryovers for each, and the issue that started this thread does seem to be fixed.

My dilemma now is to figure why there is a large difference between "regular" and AMT capital loss carryover numbers. I've never paid much attention, because I don't have any transactions that should trigger AMT. But, since the IRS has never brought it up, I don't guess it is a problem, and my actual taxes do not seem to be affected.

Re: Incorrect AMT Capital Loss Carryover

HopeS — Mon, 13 Mar 2023 22:02:51 GMT

There are various items that are treated differently for AMT tax purposes vs regular tax. You may want to review your prior year's returns to see if any of these differences were reflected on your Form 6251.

Line 2b: Tax Refund: If you have a taxable state tax refund on your regular tax return, you get to remove it from your income for AMT purposes because you do not receive a corresponding deduction for state taxes under the AMT.

Line 2c: Investment interest: The investment interest deduction may be different for AMT purposes because it depends on whether you have taxable private activity bond interest (see line 12). If you do, you may have an additional deduction for investment interest.

Line 2i: Incentive stock options: This line is another common problem for people affected by AMT. If you exercise an Incentive Stock Option (ISO) but do not sell the stock in the year of exercise, the transaction is not taxable that year for regular tax purposes.

However, the difference between the exercise price and the fair market value of the stock on the day of the exercise is an adjustment for AMT purposes and appears on Line 15. For many people, this adjustment can be a very large number. Essentially, you are going to be taxed on a hypothetical profit (what you might have made if you sold the stock on the day you bought it.)

See the attached guidance for more information:

Alternative Minimum Tax

@ishmayel

Re: Incorrect AMT Capital Loss Carryover

Rahbapna123 — Tue, 21 Mar 2023 03:03:04 GMT

I am reviewing my 2022 return and running into the same issue - TurboTax is showing a big positive number as disposition of property (sale of stock) but not adjusting for the large carryover loss from previous years which should offset the gains - looks like a bug in the software and it doesn't show the worksheet where the numbers are being pulled from - i had talked to TTax rep on the phone and she could not figure it out either...what are my options to fix it?