Designate by an A if the item would be an addition to book income in determining taxable income; designate by an S if the item would be a subtraction from book income in determining taxable income.
-Excess capital losses over capital gains

Question

Quizplus · Accepted Answer

Excess capital losses over capital gains are added back to book income when determining taxable income because they are not deductible for tax purposes beyond the capital gains they offset.

Designate by an a If the Item Would Be an Addition