Capital Loss Carry Over

user17711742943 · ‎February 15, 2026

For tax year 2023 I earned and filed a $7,000 capital loss carry over using Sch D. I did not use any of the $7,000 when filing tax year 2024. How do I record using the $7,000 loss carry over in Turbo Tax 2026? The 2026 Easy Step asks for Sched D from tax year 2024 ONLY.

VolvoGirl

If you had a carryover from 2023 it should have offset any 2024 gains or it would have given you a 3,000 loss in 2024 and you should have sch D. Do you have an amount on 2024 1040 line 7?

You have to report the carryover every year until it's used up. You can't skip a year. Even if you don't report it on your return you have to reduce it by the 3,000 (1,500 MFS) when you carry it over to next year. You can't choose when to use it. You may need to amend your 2024 return if you didn't report it. Or at least add it into the 2024 return to get the carryover amount to 2025.

But if you have a negative AGI or negative taxable income it will show up on 1040 BUT it won't reduce the carryover to the next year.

If it didn’t transfer over from last year then
Enter a Capital Loss Carryover under

Federal Taxes or Personal (Home & Business)

Wages and Income

Then scroll down to Investment Income

Capital Loss Carryovers - Click Start or Revisit

user17711742943

Thanks for the reply. Are you a tax professional? But still confused.

I will file an amendment to tax year 2024 to reflect using $3,000 of the carry over credit earned in 2023 and showing $1,500 still left for future filings. However, since that process can take several months, how do I file tax year 2025? Do I file without any carry over since IRS has not yet processed the amendment? Do I file 2025 as if IRS agreed and processed the amendment to 2024?

Thanks

DianeW777

No, include the correct capital loss carryover on your 2025 tax return. The IRS will reconcile everything eventually and you should file the 2025 accurately based on the knowledge you have right now, knowing the corrected figure.

Yes, process the 2024 when you have it ready but do not hold up your 2025 return.

Follow the instructions in the link below to obtain the necessary TurboTax Desktop products (2024 and 2023).

The amendment can be completed using the steps below and if necessary you can use the IRS transcript for your original 2023 or 2024 tax return.