If your clients’ have a capital loss they are carrying forward, you can easily enter the amount of the loss into TOTAL Planning Suite. Golden Years will first use any capital losses to offset capital gains, then allow the allowable $3,000 capital loss to be deducted against ordinary income per year, and lastly, carry any remaining capital loss forward.
To enter a capital loss carry forward, go to the Taxes section, and the Tax Details tab. Select Schedule D Capital Gain/(Loss). Enter the loss as a negative amount under the “Tax Report” column in the Current Year inputs. Then go to the future change table below, and enter Individual 1’s age next year with 0’s under the dollar amount columns.
The program will handle everything from there. That’s all you need to do. If you would like to review the details to see how this flows on the report, keep reading. This requires tracking between report pages broken down below.
Viewing the capital loss carryfoward and the impact on the tax reports requires 3 reports:
Capital Gain/Loss Carry-Forward (C6a)
Taxable Income Analysis report (D7)
Dividend, Capital Gain Sources report (D7a)