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February 24, 2024
Question

If I am using the 3,000 max capital loss carryover, does this apply to both federal and state returns? I am filling in California state return.

  • February 24, 2024
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February 24, 2024

Yes.  You can continue to take the maximum $3,000 on your federal return if you have enough income to use it.  If not TurboTax will calculate your carryover.

 

California (CA):

Line 6 – California capital loss carryover from 2022  CA Capital Gain or Loss Adjustment

If you were a resident of California for all prior years, enter your California capital loss carryover from 2022. However, if you were a nonresident of California during any taxable year that generated a portion of your 2022 capital loss carryover, recalculate your 2022 capital loss carryover as if you resided in California for all prior years. Get FTB Pub. 1100, Taxation of Nonresidents and Individuals Who Change Residency, for more information. Enter your California capital loss carryover amount from 2022 on line 6.

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nkazi97Author
February 24, 2024

The federal carryover seemed correct at -3000.

 

For some reason, the carryover for California was calculated to be 0 however. I am not sure if this was correct. So I was wondering if I needed to input myself the carryover to be 3,000.

March 1, 2024

You will need access to your 2022 California state return to determine the correct amount to enter into TurboTax for your 2023 tax return.

 

The California capital loss carryover from 2022 will be reflect on your 2022 California Capital Loss Carryover Worksheet.  The amount on line 8 is your capital loss carryover amount for 2023.

 

If you are using TurboTax online, once you locate the amount, you can log back into TurboTax and select Your State Returns from the panel on the left.

  1. Select Edit to the right of your state.
  2. Select edit to the right of Income and adjustments
  3. Proceed through the screens until you see the screen titled "Here's the income that California handles differently."  
  4. Scroll down to the section titled Investments and select start/revisit to the right of Capital Loss Carryover from Last Year.
  5. You will be prompted to enter your state specific capital loss carryover amounts from 2022.

If you are using the desktop version of TurboTax, you can enter the California capital loss carryover amount in the state interview section of the program.

  1. Select the State Taxes tab and then select edit to the right of Income and adjustments.
  2. On the page titled "Here's the income that California handles differently, select edit to the right of Capital Loss Carryover from last year.  
  3. You will be prompted to enter your state specific capital loss carryover amounts from 2022.

@nkazi97 

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