Hello, if I want to tax loss harvest using Turbo Tax online, can I just import the brokerage information and Turbo Tax will automatically apply my tax loss harvest or I will have to do the calculation and apply it manually?
For example, I have a harvest a capital loss by selling an investment with a cost basis of $30,000 when the price drops to $25,000. If I enter my connect Turbo Tax to my fidelity account, will Turbo Tax use information from my annual 1099 to calculate the tax loss harvest resulting capital loss of $5,000 (cost basis of $30,000 minus sale price of $25,000) to offset the same amount of capital gains, they could lower this year’s tax bill by $750.
Or am I expected to do the calculation?
You'll need to sign in or create an account to connect with an expert.
In the scenario you described, TurboTax will do the requisite calculations.
your broker reports your gain/loss transactions on consolidated 1099-B.
TurboTax just loads in that information.
A loss must be taken at least two business days before year end. Otherwise it will apply to next year.
@fanfare wrote:A loss must be taken at least two business days before year end. Otherwise it will apply to next year.
It's the trade date that is relevant, not the settlement date.
also be vary of wash sales. the acquisition of substantially identical securities (SIS) 30 days before or after the date of sale of securities at a loss. a wash sale can even occur if the acquisition occurs in the following year. a wash sale means the loss will be denied until the SIS are disposed of and not reacquired in the 61 day window,
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
pagoji123
New Member
rhcolton73
New Member
kmcphe5454
New Member
12jrogers
New Member
tracinkrider
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.