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This year I have lost most of my investment capital on short-term stock purchases. I understand that I can carry over my loss to future years and deduct it against future gains. However, what can I do with this loss if I CAN'T invest anymore due to lack of capital?
If I don't have any future gain I will be limited to a $3,000 deduction each year against ordinary income. It will take me DECADES to use up my loss!!
When I sell my house I will have a capital gain, but I will be exempt from capital gain taxes since that gain will be well under the threshold allowed by the tax law. So, I can't use my house to offset my investment loss.
Is there any other way I can use this loss to reduce my income tax? Any other capital gain that is not stocks or selling the house?
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