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Why is my stock loss not adding up correctly?

Forum|Forum|2 years ago
April 10, 2024
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My 1099-B forms reflect a loss of $143.92 short term loss and $594.89 long term loss (that one was from when I transferred UBS stock to bring it over to my Morgan Stanley account - it's on the Morgan Stanley 1099-B and didn't even show up on my UBS 1099 if that is relevant). I see it on the income list and obviously it's well under the $3000 limit. But when I click "see my capital losses" it only shows up as $113.

Meanwhile I have $1,265.07 in dividends that also show. I also have interest on some savings accounts ($3,398). Does this somehow affect my losses? I know that I owe over $400 because of those interest accounts, but why am I getting the short end of the stick for my losses when it's fully charging me for my dividend income??

Best answer by VolvoGirl

Do you have any other income? Like wages W2? Where are you seeing the $113? On your 1099DIV dividends do you have any capital gains listed in box 2a?

If you are seeing the $113 on the Income summary page the 2023 column shows the carryover to 2024 (not your current loss for 2023). Schedule D doesn't actually show the carryover amount. To find your Capital Loss Carryover amount you need to look at your return schedule D page 2. Line 16 will be your total loss and line 21 should be a max loss of 3,000. The difference between line 16 and 21 is the carryover loss for next year.

And if you have a negative AGI or negative taxable income it will show up on 1040 BUT it won't reduce the carryover to the next year.

You need to look at your actual 1040 return and see how much is on line 7.

In the Online version you have to save your return with all the worksheet as a pdf file to your computer to see the Capital Loss carry over worksheet. There might be 2. There is a Capital Loss Carryover Worksheet showing the carryover from the prior year and the current amounts. Then there is also the Capital Loss Carry Forward worksheet showing the amount transferring over to next year.

VolvoGirlAnswer

Employee

Do you have any other income? Like wages W2? Where are you seeing the $113? On your 1099DIV dividends do you have any capital gains listed in box 2a?

If you are seeing the $113 on the Income summary page the 2023 column shows the carryover to 2024 (not your current loss for 2023). Schedule D doesn't actually show the carryover amount. To find your Capital Loss Carryover amount you need to look at your return schedule D page 2. Line 16 will be your total loss and line 21 should be a max loss of 3,000. The difference between line 16 and 21 is the carryover loss for next year.

And if you have a negative AGI or negative taxable income it will show up on 1040 BUT it won't reduce the carryover to the next year.

You need to look at your actual 1040 return and see how much is on line 7.

In the Online version you have to save your return with all the worksheet as a pdf file to your computer to see the Capital Loss carry over worksheet. There might be 2. There is a Capital Loss Carryover Worksheet showing the carryover from the prior year and the current amounts. Then there is also the Capital Loss Carry Forward worksheet showing the amount transferring over to next year.

K

KimEWatersAuthor

Ok, you helped me figure it out. It was the Capital Gain Distributions that I guess I thought was part of the dividends...it's not spelled out very well on Turbo Tax, no where on the actual program does it show 2a. being calculated in it (not referring to the forms - I haven't been able to access them until I paid for a desktop version today). Does 1b. show up anywhere? I honestly don't even understand what each of these are:

1a. TOTAL ORDINARY DIVIDENDS $1,265.07
1b. QUALIFIED DIVIDENDS $558.15
2a. TOTAL CAPITAL GAIN DISTRIBUTIONS $627.95

I did have one W-2 that was pretty straightforward.

I do not have any carryover losses from last year nor will it carryover this year.

I guess I just was confused with the math that wasn't clearly shown! I even started a new return trying to make it all work so now it's a mess. Thanks for clarifying.

K

KimEWatersAuthor

Just filed, I should have trusted the system. I still don't understand all this tax stuff with stocks but I trust my brokers...and the interest seems like it's taxed so much but I guess that's life! Just avoiding paying for an expensive CPA as long as I can!