Question

Capital Loss Carryover Is Not Offsetting Federal Tax Due

Forum|Forum|2 years ago
February 23, 2024
1 reply
0 views

I had a Capital Gain of $70,000 in 2023, but also had a Capital Loss Carryover from 2022 far in excess of this amount. Turbo Tax Deluxe on my Windows computer has correctly reduced the Carryover amount to be applied to 2024 in the right amount, but it also shows a $2,500 increase in its running total of Federal Taxes Due. The Capital Loss Carryover should completely absorb the Capital Gain and there should be no impact on my tax liability for the year. Does anyone have an idea why Turbo Tax is making this error?

M

Mike9241

if your capital loss carryover exceeds current year capital gains then up to $3000 can be subtracted against other income

we have no access to your return. there are many possible reasons.

perhaps the best way to see what's going on is to save a PDF of the return as it is now and then remove the capital gain data and save a pdf of this return. then you can compare them line for line what's going on.

OR save a PDF with all capital gain/loss carryforward info entered. the remove the CLCO and save a PDF, compare the two to see what changed.

Then if you have questions you can post them in this thread so we understand what the issue is and what you did.

L

Leofus1Author

Mike,

Thank you for your quick response. I followed your advice and discovered the problem was a result of incorrect calculations by TT with my Cap. Loss Carryover amounts. After a little research, this seams to be/have been an issue with TT in previous years, as well.

Again, thank you for your help.

N

NatureLover1

Hello,

I am running into the same issue with TT not able to calculate Capital Loss carryover correctly and it is not offsetting my gain for this year. Could you please let me know what you did to fix this issue please. Thank you in advance.

I am using Online TT Premier.