7 responses

  1. Eric J. Nisall – DollarVersity
    December 13, 2011

    It’s important to realize that capital losses in excess of capital gains plus the additional $3,000 income offset limit must be carried forward to future years. When it comes to individuals, there are no provisions to carry anything back to prior years, that ability is reserved for C-Corps only. The only reasons acceptable for amending an individual tax return are to correct inaccurate information or to report figures that weren’t originally submitted the first time.

    • MR
      December 16, 2011

      Yeah, well that’s what turbo tax is for :)

      As you can tell, I had Tax class a long time ago…

      It’s a good think my blog is about personal finance and not tax losses (lol)

  2. retirebyforty
    December 13, 2011

    Thanks for the mention! It was a big gain year (early 2011) and I needed to sell off some losers to offset those gains. I hate paying tax and avoid it as much as possible. :)

    • Money Reasons
      December 13, 2011

      Congratulations! I had some big gains in my stock account, but they are left mostly unrealized. So I decided to use the losses against my income from blogging.

  3. AverageJoe
    December 13, 2011

    At first I was going to make the carry-back comment, but Eric beat me to it!

    I love starting the new year with a freshly weeded portfolio. It puts me in a good mood to go on the attack and look for quality names to “plant” in my investment “garden.”

    Congrats on the nice gains this year!

    • MR
      December 16, 2011

      Thanks, yeah I had Tax class a long time ago, my bad on that one.

      I agree on the weeding! It’s nice to close the year out, especially if you are for the better :)

  4. jack – gostocktrading
    December 21, 2011

    I wish more people would ditch their embarrassment about selling losers, like you have MR. Too many stock investors seem to do the opposite and sell their winners too soon while hanging grimly on to their losers. But why wait until December?

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