Why is my stock loss not adding up correctly?

[KimEWaters]

My 1099-B forms reflect a loss of $143.92 short term loss and $594.89 long term loss (that one was from when I transferred UBS stock to bring it over to my Morgan Stanley account - it's on the Morgan Stanley 1099-B and didn't even show up on my UBS 1099 if that is relevant).  I see it on the income list and obviously it's well under the $3000 limit. But when I click "see my capital losses" it only shows up as $113. 

Meanwhile I have $1,265.07 in dividends that also show. I also have interest on some savings accounts ($3,398). Does this somehow affect my losses? I know that I owe over $400 because of those interest accounts, but why am I getting the short end of the stick for my losses when it's fully charging me for my dividend income??

[VolvoGirl]

Do you have any other income?  Like wages W2?  Where are you seeing the $113?  On your 1099DIV dividends do you have any capital gains listed in box 2a?

If you are seeing the $113 on the Income summary page the 2023 column shows the carryover to 2024 (not your current loss for 2023). Schedule D doesn't actually show the carryover amount. To find your Capital Loss Carryover amount you need to look at your return schedule D page 2. Line 16 will be your total loss and line 21 should be a max loss of 3,000. The difference between line 16 and 21 is the carryover loss for next year.

And 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.

You need to look at your actual 1040 return and see how much is on line 7.

In the Online version you have to save your return with all the worksheet as a pdf file to your computer to see the Capital Loss carry over worksheet. There might be 2. There is a Capital Loss Carryover Worksheet showing the carryover from the prior year and the current amounts. Then there is also the Capital Loss Carry Forward worksheet showing the amount transferring over to next year.

[KimEWaters]

Ok, you helped me figure it out. It was the Capital Gain Distributions that I guess I thought was part of the dividends...it's not spelled out very well on Turbo Tax, no where on the actual program does it show 2a. being calculated in it (not referring to the forms - I haven't been able to access them until I paid for a desktop version today). Does 1b. show up anywhere? I honestly don't even understand what each of these are:

1a. TOTAL ORDINARY DIVIDENDS $1,265.07
1b. QUALIFIED DIVIDENDS $558.15
2a. TOTAL CAPITAL GAIN DISTRIBUTIONS $627.95

I did have one W-2 that was pretty straightforward. 

I do not have any carryover losses from last year nor will it carryover this year. 

I guess I just was confused with the math that wasn't clearly shown! I even started a new return trying to make it all work so now it's a mess. Thanks for clarifying. 

[KimEWaters]

Just filed, I should have trusted the system. I still don't understand all this tax stuff with stocks but I trust my brokers...and the interest seems like it's taxed so much but I guess that's life! Just avoiding paying for an expensive CPA as long as I can!

[VolvoGirl]

Glad you found the Capital Gains on the 1099Div.   Did you switch to the Desktop program?  It has more features than the Online version.  Now you can look at the forms.   

For the Qualified Dividends in box 1a.........

Even though it shows up as income on the first page,if you have capital gains or qualified dividends the tax is not taken from the tax table but is calculated separately from schedule D.  The tax will be calculated on the Qualified Dividends and Capital Gain Tax Worksheet.  It does not get filed with your return.

In the online version you need to save your return as a pdf file and include all worksheets to see it.

For the Desktop version you can switch to Forms Mode and open the worksheet to see it.  Click Forms in the upper right (upper left for Mac) and look through the list and open the Qualified Dividends and Capital Gain Tax Worksheet.  And you will need to use this IRS worksheet on page 15.

https://www.irs.gov/pub/irs-pdf/i1040tt.pdf

[KimEWaters]

Yes! A friend of mine works for Intuit or Quickbooks or something like that and had given me a 20% off link but they upped the price last month so I was going to buy the desktop version and she gave me a link that was a much better price than if I had bought it from Amazon etc. So now I will be using the desktop version going forward! I was able to click into the different forms and I have already filed it and it was accepted! I will look into the IRS worksheet tomorrow because I want to understand it all. I am very thankful for this community! Last year it helped save me hundreds when I learned that I didn't have to pay full gains on inherited stock and I was able to calculate the price on the day I acquired the stocks (eventually I convinced my broker to send me a corrected form, but I didn't owe any more or less because of the help here). THANK YOU!