Capital Loss Carryover Calculator
Sold investments at a loss? You can deduct up to $3,000 of net capital loss against ordinary income each year — and carry the rest forward indefinitely. This calculator shows your timeline.
How to use this calculator
- Enter net capital loss this year.
- Enter expected capital gains next year (optional).
- Your results appear instantly below and update as you change the numbers.
How this calculator works
Capital losses first offset capital gains; the remaining net loss is deductible against up to $3,000 of ordinary income per year ($1,500 if married filing separately). Any amount you cannot use carries forward indefinitely to future years, still offsetting gains first and then up to $3,000 of ordinary income each year. The calculator applies this year's $3,000 limit, adds your expected future gains, and projects how long your loss will last.
Frequently asked questions
How much capital loss can I deduct?
Up to $3,000 per year against ordinary income ($1,500 for married filing separately), after netting losses against gains. The unused portion carries over indefinitely.
Do I have to use carryover losses in order?
You carry losses forward as a single balance, and they are applied automatically each year: first against capital gains, then against up to $3,000 of ordinary income, in the order the IRS prescribes on Schedule D.
Is there a limit on how long I can carry losses?
No — capital loss carryovers never expire. You can use them for as many years as it takes, which is why they are valuable: a large loss can shelter gains for decades.
Disclaimer: Results are estimates for general information only and do not constitute financial, tax, or legal advice. Figures reflect 2026 rules and may change. Always confirm current limits and consult a qualified professional before making decisions. Official figures: IRS.gov · 2026 limits per IRS tax inflation adjustments.