I know the federal limit is $3000 on capital losses, but TurboTax limits the Oregon one to also $3000. I can't find anywhere that states the rule that Oregon limits capital losses to $3000 also. Can someone confirm this is correct?
I have about 50k in capital gain from a home sale in Arizona (while I was a resident there), and I lost $13k when I sold stock after becoming an Oregon resident. I have net capital gain on my federal return, but would like to know if I can deduct $13k from my Oregon taxes.
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Oregon has rolling conformity with federal law and limits your capital loss against other income to $3,000. This is in TurborTax and also in Oregon and also on page 15 of the Form OR-40-N and Form OR-40-P Instructions.
Capital gain or loss. Determine the amount of gain or loss and capital gain distributions from Oregon sources for the part of the year you were a nonresident. Add the amount of your capital gains received and losses incurred during the part of the year you were an Oregon resident. Limit losses to $3,000 ($1,500 if married filing separately).
You need to review the Sch D carefully ... all cap gains are netted against cap losses first and then up to $3000 of excess losses are allowed against ordinary income on the 1040.
If this home sale was taxable and reported on the 8949 or 4797 then it would have already been netted against the loss using it up in full so the rest of your question is mute. If the home sale was excluded from income because it was a personal residence then the loss will be limited to a max of $3000 on the 1040 and the rest carried forward. The state follows the same rules.
The capital gain were from when I was an Arizona resident, while the capital loss is from when I was an Oregon resident. I don't need report Arizona gains in Oregon. I just have to report the capital losses in Oregon (where I had no capital gains in or while I was a resident of Oregon), so checking what's the max loss I can deduct.
Oregon has rolling conformity with federal law and limits your capital loss against other income to $3,000. This is in TurborTax and also in Oregon and also on page 15 of the Form OR-40-N and Form OR-40-P Instructions.
Capital gain or loss. Determine the amount of gain or loss and capital gain distributions from Oregon sources for the part of the year you were a nonresident. Add the amount of your capital gains received and losses incurred during the part of the year you were an Oregon resident. Limit losses to $3,000 ($1,500 if married filing separately).
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