"David Woods, EA" <dwoods[at]woods-financial.com> wrote:
- quote -

C'mon David, you know better than that. If he has no capital
GAINS, or less than $7,000 of such gains, he is limited to
$3,000 being used against ordinary income. Any remaining
loss would be carried over to the next and succeeding years.

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kumar_dk20[at]yahoo.com (Kumar) wrote:

- quote -

Cost basis ($10K) plus commissions, minus sales price equals
capital gain or loss. Goes on Schedule D, Form 1040.

Missy Doyle

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Kumar <kumar_dk20[at]yahoo.com> wrote:

- quote -

Report the sale and your long-term loss on Schedule D.

Then fill out the rest of schedule D, paying attention to
Part III and lines 17 and 18 of that schedule. The
schedule itself will tell you that if your loss is more than
$3000, you claim 3000 on form 1040 Line 13 as a loss this
year.

Then get a copy opf IRS Publication 550 and fill out the
Capital Loss Worksheet in that Publication, so that next
year you will start out with a loss,

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

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"Kumar" <kumar_dk20[at]yahoo.com> wrote:

- quote -

Since you sold the stock, umm all of it?

--
David M. Woods, EA
Woods Financial Services
Norwood, MA 02062
www.woods-financial.com

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kumar_dk20[at]yahoo.com (Kumar) writes:

- quote -

List the sale on your 2003 Schedle D (1040) and follow the
instructions. If you had no other Schedule D transactions,
$3,000 will be taken on your 2003 return with the balance
carried forward.

Phil Marti
Topeka, KS

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Kumar wrote:

- quote -

Investment gains and losses are typically reported on
Schedule D.

Your loss can offset the capital gains from other securities
(if you have any). If you have a net loss for all
securities, up to $3,000 of it can offset other income.
(It's $1,500 for married filing separately.) If the net loss
exceeds that amount, the excess can be carried forward to
future years.

Details of the calculations and reporting steps are
explained in the instructions for Schedule D.

(I'm no expert, just somebody who's been in that situation.)

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kumar_dk20[at]yahoo.com (Kumar) wrote:

- quote -

Since you sold out of the stock, your entire loss is a
capital loss in 2003 and goes on Schedule D. If you filed
without reporting the sale, you'd file an amended return; if
you're getting ready to file under an extension, put it on
Schedule D now.

(This is different from the common situation in which you
continue to hold a practically-worthless stock. If you
continue to hold the stock, you can't take a loss until the
stock is officially worthless (for example, the stock is
cancelled, or your entire holding disappears in a reverse
split), and determining just when the stock became worthless
can be tricky.)

--
Chris Green

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Kumar wrote:

- quote -

You report your loss on the sale on Form 1040 Schedule D as
a long-term capital loss. You use this form to report all
your other short-term and long-term capital transactions
(gains and losses).

Once it all gets netted, you will discover that you are only
allowed to report a net capital loss not in excess of $3000
on Line 13a of the Form 1040. Losses in excess of $3000 are
carried forward to the next tax year.

--
Alan
http://taxtopics.net

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kumar_dk20[at]yahoo.com (Kumar) writes:

- quote -

First, this has to be reported on your 2003 tax return (the
one that was due 15 April 2004 unless you put it on
extension). So if you have filed it, you'll need to file an
amended return.

Second, the $10,000 loss will on Schedule D
dollar-for-dollar offset any capital gains you had in 2003.

Third, if you had no capital gains, or if the loss exceeds
your gains, the excess loss -- but no more than $3000 -- can
dollar-for-dollar offset your ordinary income (wages,
interest, dividends, etc).

Fourth, if aforementioned $3000 loss limit prevents you from
using up all of the net capital loss, any remaining loss is
carried forward to next year's Schedule D where it is
treated as if it were incurred that year.

Rinse, lather, repeat.

--
Rich Carreiro rlcarr[at]animato.arlington.ma.us

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kumar_dk20[at]yahoo.com (Kumar) wrote:

- quote -

Subtract your proceeds from the sale from the cost basis,
and that's your long-term capital loss. It can be used to
offset any capital gains you have. If you end up with a net
loss, the first $3,000 can be used to offset ordinary income
in 2003, and the remainder will be carried forward as a
capital loss on your 2004 taxes (which then goes through the
same process).

Anyway, just enter the sale on Schedule D when you're doing
your 2003 taxes, follow the instructions, and everything
should fall out.

--
Barry Margolin, barmar[at]alum.mit.edu
Arlington, MA

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I had invested about $10,000 in a stock that turned
worthless in about 2 years. I lost all my money in that
investment, i finally found out from the broker that the
stock was delisted from NASDAQ and the stock was selling for
pennies. I sold all my holding in the stock in OCTOBER 2003.

I would like to seek your help in finding out how much of
the $10,000 that i lost could be claimed as deduction for
the tax year '2003.

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