In 2016,Carmen had a net capital loss of $10,000 and taxable income of $100,000.What is Carmen's loss carryforward to 2017?
A)$7,000.
B)$5,000.
C)$0.
D)$3,000.

Name: In 2016,Carmen had a net capital loss of $10,000 and taxable income of $100,000.What is Carmen's loss carryforward to 2017? A)$7,000. B)$5,000. C)$0. D)$3,000.
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Question

Quizplus · Accepted Answer

Carmen can deduct up to $3,000 of her net capital loss against her ordinary income in 2016. Therefore, she can carry forward $7,000 ($10,000 - $3,000) to 2017.

In 2016,Carmen Had a Net Capital Loss of $10,000 and Taxable