The maximum amount of net capital losses individual taxpayers may deduct against their ordinary income per year is:
A)$3,000.
B)$5,000.
C)$0, losses are not deductible.
D)There is no maximum. All losses are allowed to be deducted.
E)None of the choices are correct.

Question

Quizplus · Accepted Answer

The maximum amount of net capital losses that individual taxpayers may deduct against their ordinary income per year is $3,000. Any unused losses may be carried forward to future tax years.

The Maximum Amount of Net Capital Losses Individual Taxpayers May