I qualify for EIC, except perhaps that I have investment income. The total net investment income is less than $3600, but that is because I have capital losses of $800+. Why does TurboTax ignore my capital losses for EIC?

Tarseeli · ‎February 13, 2020

MinhT1 · ‎February 13, 2020

For the calculation of investment income for EIC, capital gains are included but capital losses do not count.

Please see Worksheet 1 at the end of this IRS document.

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MinhT1 · ‎February 13, 2020

For the calculation of investment income for EIC, capital gains are included but capital losses do not count.

Please see Worksheet 1 at the end of this IRS document.

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**Mark the post that answers your question by clicking on "Mark as Best Answer"

Tarseeli · ‎February 13, 2020

Thank you. I used to do all the taxes myself (all the info is in the publications). Now that I rely on TurboTax, I can't do as well anymore. The computer can only do the forms, it cannot do the tax planning for you. If I had the time, I would ditch TurboTax and do everything myself again. (Or if I had the income, I would hire good tax people--but neither is the case, otherwise I wouldn't be trying to qualify for EIC.) 🙂

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I qualify for EIC, except perhaps that I have investment income. The total net investment income is less than $3600, but that is because I have capital losses of $800+. Why does TurboTax ignore my capital losses for EIC?