Is this capital loss carry over calculation by TurboTax correct?

[justin]

Got it, thanks! Yeah that makes sense, basically the $3000 deduction is applied to the income tax liability, not to the capital gain tax liability, is that right?

[VolvoGirl]

Well the loss is deducted from your income so you get taxed on a lower amount.  There is no capital gains tax involved since you have a loss.  That's only on a net gain.