Capital Loss Carryover

MS SAMEER (CMA*CA*CMDM*ast FUND MANAGER*LEGAL ADVISOR)   (14938 Points)

24 June 2010  

Capital Loss Carryover Capital loss provisions can take some of the sting out of a losing investment, but investors must be careful of wash sale provisions, which prohibit repurchasing an investment within 30 days of selling it for a loss. If this occurs, the capital loss cannot be applied toward tax calculations, and is instead added to the cost basis of the new position, lessening the impact of future capital gains.