One important tax rule concerning capital losses is that

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The tax rule concerning capital losses is that a maximum of $3,000 of losses in excess of capital gains can be written off against other income in any one year. This means that if your capital losses exceed your capital gains by more than $3,000, you can only deduct $3,000 of the losses from your ordinary income that year. The remaining losses can be carried forward to future years and used to offset future capital gains or written off against ordinary income in $3,000 increments each year until the losses are fully used up.

One Important Tax Rule Concerning Capital Losses Is That