Capital Loss Carry-over Question

[kjpliny]

Does anyone know how to carry over a capital loss from the previous year? I've been looking through the 1040 instructions and it only mentions how to apply it using schedule D, which would be filled out for capital gains/losses for the current year. I have no gains or losses for the current year, so how can I record the carry over? Just write it on form 1040 with no schedule D attached? Thanks for your help.

 

[Martha]

I think you just put the negative amount on line 13, subject to the $3000 loss limit against ordinary income. Is that right, retire@40?

 

[retire@40]

I think you just put the negative amount on line 13, subject to the $3000 loss limit against ordinary income.  Is that right, retire@40?

No, I would attach Schedule D showing the carryover loss and to keep track of the remaining carryover.

If I were the OP, I would bring my tax info to a local CPA since there may also be related state tax issues to a short-term or long-term capital loss.

 

[Martha]

I agree Retire@40. Here is the instructions for schedule D. http://www.irs.gov/pub/irs-pdf/i1040sd.pdf