turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

atwarp9
New Member

I have long-term capital gain $2K and a loss of $6K, and dividend income of $4K (1K qualified, 3K qualified), would the loss of $4K offset the dividend income?

 
Connect with an expert
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

1 Reply
DJS
Alumni
Alumni

I have long-term capital gain $2K and a loss of $6K, and dividend income of $4K (1K qualified, 3K qualified), would the loss of $4K offset the dividend income?

3K of the 4K excess loss will offset 3K of ordinary income. Although dividends and long-term capital gains are taxed at the same rates, this does not mean capital losses can be used to offset dividends. However, if you have a net capital loss after offsetting all capital gains, up to $3,000 per year of capital loss may offset regular taxable income, which may include dividends. The balance will be carried over to the 2020 tax year.

Answers are correct to the best of my ability but do not constitute legal or tax advice.
**If this post is helpful please click on "thumbs up"**
message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
Manage cookies