On Apr 22, 12:45*pm, tsx0to60in5...[at]gmail.com wrote:
- quote -

Your carryover loss is first applied to any gains, and if any is left
over $3,000 of it is applied to other income and the remainder is
carried forward.

ed

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in 2006 I bought stock and sold the stock in 2006 and lost $7,500.
For my 2006 taxes I was only able to claim $3,000 and the other $4,500
was to be carried over for the following years. In 2007 say I made
$4,500 from the stock market that was also short term
stocks.......would that cancel out the $4,500 that was to be carried
over from 2006 or only 3,000 dollars would be able to cancel out and I
would have to pay $1,500 of capital gains tax for 2007.

========================================= MODERATOR'S COMMENT:
Your entire capital loss carryforward is applied first to all
gains, so all of the (4500) would be taken.

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<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >