2023 CPA Return to 2024 Premier Desktop - Business Loss Carryover question

[wpbelson]

For over a decade I was using a CPA to prepare my returns because of a part-time Real Estate business (Sch. C) and Investment properties (Sch. E.)   In 2024 I am transitioning to TT Desktop because I have sold my last investment property back in 2022 and ended my Real Estate business at the end of 2023.  For the foresable future, I will NOT have a Sch. C or Sch. E to impact my returns.

My CPA would provide Form 8995 (Qualified Business Income Deduction Simplified Computation form) and would track my qualified business loss on an annual basis.  The total qualified business (loss) carryforward by Line 16 on Form 8995 in 2023 was $41,778.   

Do I need to keep providing form 8995 in 2024 (and beyond) and just keep the value of $41,778 in Line 3 as the carryforward from the previous year?

How will I ever be able to take advantage of this carryforward loss on anything besides another business?  Any way to use it to offset a windfall stock capital gains?

[DianeW777]

No, there is no other way to use it.  Until your qualified business income (QBI) exceeds your QBI loss carryforward, you will experience this discrepancy. Since you are no longer in business you would continue to carry this forward on the chance you might begin a business again in the future. It's important to keep it on the tax records.

To include your QBID carryforward loss so that it is not lost you can use the steps below.

• TurboTax CD/Download or TurboTax Online
  • Income and Expenses > Other Business Situations  > Net Operating Loss/QBI Carryforward Loss

[wpbelson]

Hi DianeW777,

Thank you for the information and I thought that I would be limited to ONLY being able to use this carryforward loss on business related items.  I updated the appropriate information and the SW generated the 8995 form with the carryforward loss amount and $0 for any loss in 2024 since I no longer have that business.  I guess the SW should automatically update this information year over year until I either re-start my business or something new.  Either way, I will check that item in TT next year.