Just got caught up since my original post. Thanks for all the replies,...but sheesh, my head hurts
Our loss came from a K-1 from an estate; for Ty 2011 it offset all LT gains plus $3000 ord. inc. A large-ish chunk was carried over to the current TY. 1) If we take NO gains this year, presumably we could take another 3k off ord. inc. and carry the remainder forward again?
2)If we do
take gains this year, but not enough to tip us into the next bracket (ie, wouldn't pay CG taxes anyway) - same thing?
The more I read IRS's turgid prose the more I'm convinced we need to blow up the whole system.
Maybe I'll just trust to TurboTax!