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Turbotax tool is using more than $3000 from carryover capital loss

Folks, 

 

what am i missing, turbotax is using all the $10K of carryover losses to offset my current year capital gain rather than the allowed IRS limit of $3k.  It does show the $10K as short term capital loss carryover but i dont know if IRS distinguishes between LT and ST carryover. 

 

how do I proceed with this? thanks 

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Turbotax tool is using more than $3000 from carryover capital loss

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