Writing off a loss

[ML444]

I have an investment loss from 2021 for around $2,500 that I never used.  I wanted to claim it on this year's 2023 tax return.  A few questions.  If I only have $1,000 in  realized gains for 2023 from investments can I still claim my entire $2,500 as a way to reduce my tax responsibility from my w-2 earnings?  

If this is okay, which form would I need to use to report this investment lost?  Thank you

[Anonymous]

Hi,

Here is an article indicating how to enter a capital loss carryover:

https://ttlc.intuit.com/turbotax-support/en-us/help-article/accounting-bookkeeping/enter-capital-los... 

You will still have to enter the W-2 income.

You can enter the full 2,500 capital loss from 2021, even if you have realized or recognized losses in 2023.

Once you enter the capital loss carryover, it will appear on schedule D of the 2023 1040.

You still have a responsibility to report the W-2 income.

If you are below the threshold of income needed to file, you don't need to file a 2023 tax return.

However, if you want to take advantage of the capital loss carryover from 2021 in 2023, you need to file a 2023 tax return.

Thank you,

John

CPA

[ML444]

Thank you so much.  I appreciate your clear answer.  I understand under the free subscription of turbo tax doing a schedule D is not included.  May seem like a silly questions but can you still file returns by paper through the mail?

Thanks again.

[Anonymous]

You can file by mail, but you will need to prepare the premier version of TurboTax to report stock and investment sale transactions. You can't print the return for mail without paying for the version of TurboTax that allows you to report these transactions.