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pa state taxes carry over losses

I live in Pa. This year I owe no Federal Taxes as I deducted my losses and had some carry over losses.

When I entered my Pa State taxes I noticed that I still had around $20,000 in capital gains left over after deducting my losses. This amount is being added to my income in determining the Pa. state taxes I owe.

I have plenty on Federal carry over losses I could apply (I did this so I would not owe any Federal Taxes).

Can't I apply this the same way so I do not owe any Pa state tax?

 

I read that Pa does not use carryover tax losses, but I am not carrying over Pa state losses. I just want to apply my federal carryover losses to my gains so I don't owe Pa. taxes.

 

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1 Reply
Vanessa A
Expert Alumni

pa state taxes carry over losses

PA does not allow you to carry over any losses.  

PA calculates your income based on PA rules.  This means any gains you have that are included on your PA return are considered PA gains.  Any losses on your PA return are considered PA losses.  

In PA, each year is independent, so whether you call them federal or PA losses, PA does not allow them to be carried forward. 

Pennsylvania also has no provisions for the carryover of losses from one tax year to another year. F...

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